While investors will focus more on banking crises and central banks’ measures, speakers in different countries will try to explain the situation in more detail. We will also have the European inflation numbers and the Fed’s favored measure of inflation in the US on Friday, which must give us a brighter perspective of future policies. […]
While the Manufacturing sector still suffers, the service sector growth is strong. According to the data published on Friday, S&P Global’s flash rose to 54.1 from 52.0 in February, clearly above the 50 levels, indicating growth and challenging the analysts’ expectations for slower growth. The service sector is fine, but the Manufacturing sector can still […]
Recent fears will affect the policymakers’ decisions, but they can not end the hawkish cycle at this level. While financial markets are worried about the spread of bankruptcies to more banks, FOMC, SNB, PBoC, and BoE will have monetary policy meetings and interest rate decisions. Besides bank meetings, we have more data to watch and […]
Recently seen banking crises, increased market uncertainties, and changed the analysts’ market outlook. Some analysts now believe that central banks will not need to try to cool down the economy, and it has enough reason to slow down, especially with the fear of banking bankruptcy. Nevertheless, ahead of next week’s Fed meeting, ECB had no […]
While on Thursday, March 16, eyes will be on the ECB interest rate decision, and we are waiting for a 50 bps rate hike, I must emphasize that the liquidity position of the Eurozone banking sector appears to have improved in recent years, suggesting more of a balance between banks’ deposits base and loans extended […]
With China reopening, lower energy prices, the strong job market in most developed economies, and the relative growth of retail sales, our global economic outlook changed. Now we are less worried about the severity of the upcoming economic recession. Gas prices helped the Europeans fulfill their storage and replenish the gas crisis. Also, lower energy […]
Let us see what we expect from the week, which starts with the Eurogroup meeting. After last week’s great employment numbers and ahead of next week’s FOMC meeting, US inflation numbers and the ECB meeting will be at the center of the stage in the week ahead. UK labor data and Australian and US Housing […]
After the US bond yields rose today, German Bund Yields also raised to 2.58% and now trading at a 12-year high. Since market participants know the German 10-year bond as the risk-free reference asset for the Eurozone, this can be read as a long-term high inflation signal in the whole of Europe. Especially after that, […]
Last week most markets closed lower, and US 10-year bond Yields rose towards 4%, while this week, eyes will be on EU inflation numbers. Last Friday, the January US core PCE price index recorded 4.7% year-on-year, above the 4.3% market estimate and 4.6% in December. On the monthly scale, prices rose by 0.6%, exceeding market […]
More signs for the next moves! We can determine the central banks’ following possible decisions with the varied data we will have this week. US Consumer Confidence and Durable Goods orders, Eurozone inflation, and PMIs from the US, UK, China, and Europe make it essential this week, while with better-than-expected Markit PMI numbers last week, […]
Other than Nikkei-225, Asian stock markets fell on Friday as Thursday’s US economic data increased the market uncertainty. Simultaneously, the Nikkei-225 rallied in Japan; the next BoJ governor vowed to maintain the ultra-dovish policies. Kazuo Ueda said he broadly supports holding interest rates at ultra-low levels in the near term. However, today’s published data shows […]
We will have a busy Tuesday with PMI numbers from Europe and the US and Canadian inflation data. We are optimistic about most of these data results as lower energy prices in the past months can be a good driver for the global economy. Expected data can have a short-lived positive effect. Yesterday US market, […]
Uncertainty is the most certain thing. Uncertainty is the most certain thing seen in the financial markets these days. Economic data and outlook, inflation numbers, and central banks’ decisions create a chaotic situation. In the week ahead, with central banks meeting in China and New Zealand, PMI numbers from European countries, and Personal Spending data […]
The Euro has been floating between the Central bank’s decision and economic data. European economic data dedicating a weaker Eurozone economy, while ECB’s policymakers state that the central bank has no reason to pause rate hikes after the following March meeting. With these data and outlook, Euro continues its side movement and dilemma after the […]
2023 started with many surprise data from different economies, Chinese reopening, decreasing inflating across the globe, and upward revisions by the World Bank to better economic growth expectations. This article will review the most known symbols and watch what we expect in February. US DOLLAR The US dollar started the year with a 2% gain […]
Fed officials were hawks, and the USD index recovered its strength. Last week we had central banks’ meetings as well. ECB was the most hawkish bank among major central banks, with a 50 bps rate hike and signaling another 50 bps rate hike in the following meeting in March. BoE also raised the rates by […]
Euro stock markets can still have difficult days in the following weeks. While the ECB policy meeting and interest rate decision will be held on Thursday, February 2, the Eurozone economy has improved amid a warm winter and sufficient natural gas reserves. However, still, it is far from what it has to be. While improving […]
Economic data in favor of USD, ECB to help Euro. European started the week with mixed data. In Germany, the initial value of the unadjusted GDP annual rate in the fourth quarter was published as 0.5%, much lower than the 0.8% market’s expectations. Moreover, just in the fourth quarter, Germany’s economy decreased by -0.2%. It […]
Central banks and nothing else! We can expect volatile global markets in the week that Fed, ECB, and BoE have policy meetings and interest rate decisions while earnings season continues. The labor market seems fine in the US, UK, and even the Eurozone, but central banks will have difficulty avoiding recession while inflation is still […]
After passing through a terrible year, Europe enters a difficult transition period in 2023. While the world was preparing to celebrate the victory over Covid-19 and a new beginning and analysts were discussing different possible recovery shapes, President Putin entered the world into a new and historical period by attacking Ukraine. However, along with the […]
