Australian Dollar Falls Amid Risk Aversion

Trading 28 juin 2017 Commentaire »

The Australian dollar declined against its most major counterparts in the European session on Wednesday, with falling oil prices, global ransomware attack as well as U.S. policy uncertainty denting risk sentiment.

A massive cyber attack has swept the globe, affecting businesses and government systems with ransom demands. The new ransomware attack, in a possible reprise of a widespread WannaCry assault in May, is said to be caused by the virus linked to malware called Petrwrap or Petya.

The U.S. Senate's move to delay a vote on healthcare bill until after next week's 4 July holiday rekindled U.S. policy worries. Market participants are concerned over the Trump administration's ability to deliver pledged tax cuts and infrastructure spending, without getting the healthcare bill passed.

Oil prices fell to $44 a barrel after an industry report showed a build in US inventories last week, reviving worries over a global glut.

The aussie rose against its major rivals in the Asian session, with the exception of the kiwi.

The aussie dropped to a 3-week low of 1.4998 against the euro and held steady thereafter. The aussie is likely to find support around the 1.51 mark.

Figures from Destatis showed that Germany's import price inflation eased at a faster-than-expected pace in May after remaining stable in the prior month.

Import prices climbed 4.1 percent year-over-year in May, slower than the 6.1 percent steady rate of increase in April. Economists had expected the inflation to moderate to 4.6 percent.

The aussie eased back to 0.7587 against the greenback, from a high of 0.7617 hit at 9:45 pm ET. The next possible downside target for the aussie-greenback pair is seen around the 0.745 level.

The aussie reversed from an early nearly 3-month high of 85.48 against the yen, edging down to 84.91. Continuation of the aussie's downtrend may see it challenging support around the 83.5 area.

Survey data from Shoko Chukin Bank showed that Japan's small business confidence improved for the second straight month in June, though slightly.

The small business confidence rose to 49.2 in June from 48.9 in the previous month. In April, the reading was 48.6.

The aussie slipped to 0.9943 against the loonie, a level unseen since April 12. The aussie is poised to locate 0.98 as the next support level.

On the flip side, the aussie firmed to a weekly high of 1.0467 against the kiwi, compared to Tuesday's closing value of 1.0431. If the aussie extends rise, 1.06 is likely seen as its next resistance level.

The Reserve Bank of New Zealand Governor Graeme Wheeler said that the outlook for New Zealand's economic growth remains positive.

However, he said there considerable uncertainties, especially from international environment.

Looking ahead, U.S. advance goods trade balance, wholesale inventories and pending home sales for May are due in the New York session.

At 9:30 am ET, the European Central Bank President Mario Draghi speaks at the ECB forum in Central Bank in Portugal along with the Bank of Canada Governor Stephen Poloz, Bank of England Governor Mark Carney and the Bank of Japan Governor Haruhiko Kuroda.

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ECB's Constancio Echoes Draghi In Being Persistent With Policy Efforts: CNBC

Trading 28 juin 2017 Commentaire »

The slack in the euro area may be greater than the current estimates and the central bank need to be persistent with its policy efforts to bring inflation back to target of 'below, but close to 2 percent', European Central Bank Vice President Vitor Constancio told CNBC on Wednesday, echoing comments made by ECB Chief Mario Draghi a day earlier.

"What we see, what we observe is that domestic factors of inflation starting with wage and cost developments and then also price decisions are not responding the way we would expect in view of our more common estimates of this slack," Constancio told CNBC from Sintra, Portugal, where an ECB Forum on central banking is being held.

Draghi spoke at the same event on Tuesday and his comments sent the euro higher as they were construed as signals that the ECB was ready to wind down its massive stimulus, which is a mix of EUR 2.3 trillion asset purchases and ultra-low interest rates.

The ECB President said the bank can support the euro area economic recovery by adjusting the parameters of its policy instruments as deflation risks have disappeared and reflationary pressures are at play.

The ECB Chief stressed that such tweaks must be gradual and need to be taken with prudence. The policy needs to be persistent, he added.

Constancio said the divergence of wage and cost developments, and pricing behavior, from the ECB's expectations is prompting policymakers to wonder whether other variables must be considered to form an accurate view of the economy.

"That being the case it justifies fully what the president said at the end of his speech that we need persistence," Constancio said.

"If we want to bring inflation to our target of below but close to 2 percent then we have to persist in the type of monetary policy that we been adopting."

In its June 8 policy session, the ECB took its very first step towards exiting its massive stimulus by shedding the downward bias on interest rates in its forward guidance.

The ECB asset purchase scheme is set to continue till the end of this year. Economists expect the ECB to announce a tapering move in September.

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BoE's Cunliffe Says Wrong Time To Lift Rates

Trading 28 juin 2017 Commentaire »

This is not the right time to adjust interest rates, Bank of England Deputy Governor Jon Cunliffe told BBC radio.

Cunliffe said he would wish to see how inflation evolves. He added that inflation above the 2 percent target is "not a comfortable place".

Further, Cunliffe said he wanted to see whether business investment and exports could compensate for a consumer slowdown.

Last week, BoE chief economist Andrew Haldane said he is set to favor a rate hike.

Kristin Forbes, Ian McCafferty and Michael Saunders sought a quarter point rate hike at the June meeting. They said partial withdrawal of stimulus will help to moderate inflation overshoot.

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Ireland Retail Sales Rise In May

Trading 28 juin 2017 Commentaire »

Ireland's retail sales increased in May after falling in the previous two months, preliminary figures from the Central Statistics Office showed Wednesday.

The volume of retail sales climbed 0.8 percent month-over-month in May, reversing a 0.6 percent decrease in April.

The sectors with the largest monthly volume increases were hardware, paints & glass by 6.5 percent, followed by electrical goods with 3.3 percent gain.

Excluding motor trade, retail sales rose 0.8 percent over the month.

On an annual basis, retail sales growth accelerated to 3.3 percent in May from 1.6 percent in the prior month.

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*Ireland May Retail Sales Up 0.8% On Month Vs. -0.6% In April

Trading 28 juin 2017 Commentaire »

Ireland May Retail Sales Up 0.8% On Month Vs. -0.6% In April

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*Ireland May Retail Sales Up 3.3% On Year Vs. 1.6% In April

Trading 28 juin 2017 Commentaire »

Ireland May Retail Sales Up 3.3% On Year Vs. 1.6% In April

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Italy Inflation Slows Unexpectedly In June

Trading 28 juin 2017 Commentaire »

Italy's consumer price inflation eased unexpectedly in June, preliminary figures from the statistical office Istat showed Wednesday.

The consumer price index rose 1.2 percent year-over-year in June, slower than the 1.4 percent increase in May. Meanwhile, economists had expected the inflation to remain stable at 1.4 percent.

Excluding energy and unprocessed food, core inflation accelerated to 0.9 percent in June from 0.7 percent in May.

Transport costs grew 3.7 percent annually in June and prices of food and non- alcoholic beverages climbed by 1.9 percent.

On a monthly basis, consumer prices edged down 0.1 percent in June, while it was forecast to rise by 0.1 percent.

The EU measure of inflation, based on the Harmonized Index of Consumer Prices, increased at a slower pace of 1.2 percent annually in June, following a 1.6 percent gain in May. That was below the 1.4 percent climb expected by economists.

Month-on-month, the HICP dropped 0.2 percent in June, while it was expected to remain flat.

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‘The Good Place’: Ted Danson Talks Playing Evil Michael In Season 2 [SPOILERS]

Trading 28 juin 2017 Commentaire »
“The Good Place” star Ted Danson said that playing Michael on the NBC comedy series becomes much more enjoyable for him after it was revealed in the Season 1 finale that the good-natured facilitator of the Good Place is actually a conniving architect of the Bad Place.

Aretha Franklin Battling A Serious Illness? Singer Cancels Tour Due To Doctor’s Orders

Trading 28 juin 2017 Commentaire »
Aretha Franklin has announced the cancellation of her Toronto concert due to some health concerns. According to The Hollywood Reporter, the queen of soul’s doctors ordered her to not push through with her show on July 1 at the Sony Centre for the Performing Arts. Unfortunately, no other details about the singer’s health issues were released. But Franklin is already slated to perform at the 2018 Toronto Jazz Festival on June 29, 2018.

Michelle Rodriguez Leaving ‘Fast & Furious’? Actress May Exit If Female Cast Are Not Shown Love

Trading 28 juin 2017 Commentaire »
“Fast & Furious” star Michelle Rodriguez has some requests for the people behind the franchise. On her Instagram account, the actress posted a collage of photos to commemorate the official digital release of “Fast & Furious 8” or “The Fate of the Furious.” In her caption, Rodriguez said she hopes that the female characters in the series will be shown more love in the future because otherwise, she would say goodbye to the franchise.