Tuesday, May 5, 2015

European PMIs top global ranking

     European PMIs top global ranking
    All of the top 10 countries are European; Asia was particularly weak
    Eurozone manufacturing PMI now higher than US ISM index, but as this has no implications for monetary policy, it probably won’t affect the currency
    Sweden’s strong PMI suggests SEK strength

     RBA cuts rates 25 bps, as expected
    Says AUD is likely to weaken further, should weaken; it does. I remain bearish AUD

     Fed Evans wants delay in hiking rates
    He’s a well-known dove and his views aren’t representative of FOMC consensus

     Greece pushes for more funding as ECB considers cutting it
    Greek officials talk with Draghi today to get ECB to boost funding for Greek banks
    But ECB will debate tomorrow whether they should raise collateral requirements

     Today:
    Sweden: Industrial production for March expected to rise, could be SEK-positive
    UK:  Construction PMI for April expected to decline slightly but remain at high level

    US: final Markit service-sector PMI for April, ISM non-manufacturing PMI forecast to decline. US trade balance for March

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