RTFX-Trading
11-06-09, 07:46 AM
MORNING BRIEFING: The US Dollar under pressure, Russia will reduce its share of US bonds in exchange reserves.
What?s new?
Russia: Reduces share of US bonds in its exchange reserves.
United Kingdom: An unexpected rise in industrial production in April.
United Kingdom: The economy has resumed growth in April / NIESR.
United States: Trade deficit to $ 29.16B.
United States: Budget deficit of $ 190B in May.
Oil: Reaches 7 month high in New York, sharp drop in oil stocks.
United States: Birth of the "New Chrysler" is official.
Today:
10h00 Euro zone: ECB monthly bulletin.
14h30 United States: Retail Sales May, exp 0.50%, previous -0.40%.
14h30 United States: Retail Sales excluding autos May, exp 0.20%, previous -0.50%.
14h30 United States: Initial Jobless Claims, exp 615'000, previous 621'000.
14h30 United States: Continuing Claims, exp 6.77M, previous 6.735M
14h30 Canada: Capacity Utilization Q1, exp 71.50%, previous 74.70%.
16h00 United States: Business Inventories April, exp -1.00%, previous -1.00%
Overnight Rates and Indices:
EURUSD: 1.4061 ? 1.3965.
USDCHF: 1.0823 ? 1.0754.
GBPUSD: 1.6437 ? 1.6341.
EURJPY: 137.67 ? 137.13.
USDJPY: 98.30 ? 97.74.
DowJones: 8'739 -0.27%.
NASDAQ: 1?853 -0.38%.
S&P 500: 939 -0.35%.
Nikkei: 9?783 -0.83%.
Gold: $958.20
Comments:
More bearish news for the dollar; Russia will reduce its share of US bonds in its exchange reserves in favor of bonds issued by the International Monetary Fund. The Russian reserves, which total $404.2B, currently make up 30% of Treasuries.
In the United States, the trade deficit widened to $ 29.16B in April, partly because of falling exports to their lowest level since July 2006. Yields in the United States are also increasing, which should weigh on household consumption and business investment. The return on Treasury bonds is closer to 4%, the highest since October 2008. The rise in raw materials, especially oil at its highest since in 8 months, is seen as a sign of improving global economic conditions. However, it could fuel inflation in the United States, forcing the Federal Reserve to raise its rates. The "Beige Book" released yesterday confirms that the state of the US economy was more stable than during May, with some scattered signs of an easing of the recession.
Today, the monthly report from the ECB at 10h00 CET and retail sales from the United States at 14h30 CET are the two points of attraction. The levels to watch in the medium term are EURUSD 1.3900 and 1.4170.
Good Day
Emman Xuereb
RTFX Ltd
Head Office
The Cornerstone Complex, 16th September Square | Mosta MST 1180 | Malta
Tel: +356 23 31 00 00
Fax: +356 21 41 24 58
Web: www.rtfx.com
This message and any attachments (the "message") are intended solely for the addressees and are confidential. If you receive this message in error, please delete it and immediately notify the sender. Any use not in accordance with its purpose, any dissemination or disclosure, either whole or partial, is prohibited except with formal approval. The internet cannot guarantee the integrity of this message. RTFX Ltd (and its subsidiaries) shall (will) not therefore be liable for the message if modified. Do not print this message unless it is necessary, consider the environment. RTFX Ltd holds a Category 3 license issued by the Malta Financial Services Authority.
What?s new?
Russia: Reduces share of US bonds in its exchange reserves.
United Kingdom: An unexpected rise in industrial production in April.
United Kingdom: The economy has resumed growth in April / NIESR.
United States: Trade deficit to $ 29.16B.
United States: Budget deficit of $ 190B in May.
Oil: Reaches 7 month high in New York, sharp drop in oil stocks.
United States: Birth of the "New Chrysler" is official.
Today:
10h00 Euro zone: ECB monthly bulletin.
14h30 United States: Retail Sales May, exp 0.50%, previous -0.40%.
14h30 United States: Retail Sales excluding autos May, exp 0.20%, previous -0.50%.
14h30 United States: Initial Jobless Claims, exp 615'000, previous 621'000.
14h30 United States: Continuing Claims, exp 6.77M, previous 6.735M
14h30 Canada: Capacity Utilization Q1, exp 71.50%, previous 74.70%.
16h00 United States: Business Inventories April, exp -1.00%, previous -1.00%
Overnight Rates and Indices:
EURUSD: 1.4061 ? 1.3965.
USDCHF: 1.0823 ? 1.0754.
GBPUSD: 1.6437 ? 1.6341.
EURJPY: 137.67 ? 137.13.
USDJPY: 98.30 ? 97.74.
DowJones: 8'739 -0.27%.
NASDAQ: 1?853 -0.38%.
S&P 500: 939 -0.35%.
Nikkei: 9?783 -0.83%.
Gold: $958.20
Comments:
More bearish news for the dollar; Russia will reduce its share of US bonds in its exchange reserves in favor of bonds issued by the International Monetary Fund. The Russian reserves, which total $404.2B, currently make up 30% of Treasuries.
In the United States, the trade deficit widened to $ 29.16B in April, partly because of falling exports to their lowest level since July 2006. Yields in the United States are also increasing, which should weigh on household consumption and business investment. The return on Treasury bonds is closer to 4%, the highest since October 2008. The rise in raw materials, especially oil at its highest since in 8 months, is seen as a sign of improving global economic conditions. However, it could fuel inflation in the United States, forcing the Federal Reserve to raise its rates. The "Beige Book" released yesterday confirms that the state of the US economy was more stable than during May, with some scattered signs of an easing of the recession.
Today, the monthly report from the ECB at 10h00 CET and retail sales from the United States at 14h30 CET are the two points of attraction. The levels to watch in the medium term are EURUSD 1.3900 and 1.4170.
Good Day
Emman Xuereb
RTFX Ltd
Head Office
The Cornerstone Complex, 16th September Square | Mosta MST 1180 | Malta
Tel: +356 23 31 00 00
Fax: +356 21 41 24 58
Web: www.rtfx.com
This message and any attachments (the "message") are intended solely for the addressees and are confidential. If you receive this message in error, please delete it and immediately notify the sender. Any use not in accordance with its purpose, any dissemination or disclosure, either whole or partial, is prohibited except with formal approval. The internet cannot guarantee the integrity of this message. RTFX Ltd (and its subsidiaries) shall (will) not therefore be liable for the message if modified. Do not print this message unless it is necessary, consider the environment. RTFX Ltd holds a Category 3 license issued by the Malta Financial Services Authority.