Archive for January, 2016
Friday, January 29th, 2016
Via Marc Chandler at Brown Brothers Harriman:
Kuroda Surprises, Introduces Negative Rates in Japan, Sinks Yen
- The Bank of Japan surprised the markets
- Another important development this week is the recovery in oil prices
- News in Europe has been overshadowed by the Japanese developments; however, a few economic reports should not ...
Posted in Uncategorized | Comments Off on FX
Thursday, January 28th, 2016
Via Bloomberg:
The yen tumbled and Japanese bond yields dropped to records after central bank Governor Haruhiko Kuroda adopted negative interest rates.
The Bank of Japan’s decision halted a yen rally that was threatening to be the strongest since Kuroda took office in 2013. The currency fell against all 16 major peers. ...
Posted in Uncategorized | Comments Off on Big Yen Move
Thursday, January 28th, 2016
Via the FT:
The Bank of Japan has adopted negative interest rates in their first benchmark rate move in five years, but has also chosen not to expand its quantitative and qualitative easing programme beyond its current level of buying Y80tn assets a year.
The BoJ has adopted a benchmark rate of ...
Posted in Uncategorized | Comments Off on Negative Rates in Japan
Thursday, January 28th, 2016
Via Robert Sinche at Amherst Pierpont Securities:
AUSTRALIA: The Bberg consensus expects Private Sector Credit growth to inch up to 6.7% YOY for December, matching the high since October 2008 and a significant impediment to further RBA easing as credit growth is running about 3xs the 2.2% YOY growth in nominal ...
Posted in Uncategorized | Comments Off on Overnight Preview
Thursday, January 28th, 2016
Via Bloomberg:
Fortescue Metals Group Ltd., the world’s fourth-biggest iron ore producer, is “pleased” that rivals are taking heed of calls to slow supply growth that has contributed to a slump in global prices.
“It’s good to see some better discipline coming in on the supply side,” Chief Financial Officer Stephen Pearce ...
Posted in Uncategorized | Comments Off on Market’s Iron Discipline
Thursday, January 28th, 2016
Via Millan Mulraine at TDSecurities:
TD SECURITIES DATAFLASH
US: Business Capital Investment Intention Sours
· Durable goods orders declined at a bigger than expected 5.1% m/m pace in December, marking the sharpest drop in this indicator since August last year.
· Core orders were also quite weak, falling an equally big 4.3% m/m ...
Posted in Uncategorized | Comments Off on Durable Goods Analysis
Wednesday, January 27th, 2016
Via Greg Ip at the WSJ:
By
Greg Ip
Jan. 27, 2016 12:52 p.m. ET
China’s leadership prizes stability. Its economic growth always seems to hit the government’s target and its currency, the yuan, seldom fluctuated.
Until now. After years of going only up, gradually, the yuan has become unpredictable and volatile. In ...
Posted in Uncategorized | Comments Off on The Benefits of Volatility
Wednesday, January 27th, 2016
Via the FT:
IMF and World Bank move to forestall oil-led defaults
by: Jack Farchy in Moscow and Shawn Donnan in Washington
Officials from the International Monetary Fund and the World Bank are heading to Azerbaijan to discuss a possible $4bn emergency loan package in what risks becoming the first of a series ...
Posted in Uncategorized | Comments Off on Oil Defaults
Tuesday, January 26th, 2016
Via Ian Lyngen at CRT Capital:
*** A solid takedown with non-dealer bidding 70.2% vs. 59% norm and a 1 bp stop-through. ***
* 2-year auction stops at 0.860% vs. a 0.870% 1-pm bid WI.
* Dealers were awarded 29.8% vs. 41% average of last four 2-year auctions.
* Indirects get 57.9% vs. 42% ...
Posted in Uncategorized | Comments Off on Two Year Result
Tuesday, January 26th, 2016
Via Millan Mulraine at TDSecurities:
US: Households’ Mood Brightens in January
· US household confidence jumped in January, with the CB consumer sentiment index rising to 98.1 from 96.3. This was a better showing than the consensus expectation for an unchanged print.
· The gains were driven by a brightening in the mood ...
Posted in Uncategorized | Comments Off on Consumer Confidence