In April, orders for durable goods in the United States went down by about 1…
Daily News: Monday, January 29
The beginning of the week is not full of events. However, some important announcements were made. Take them into account!
- Mixed data. The US advanced quarterly GDP was delivered on Friday, January 26. GDP growth slowed down from 3.2% to 2.6%. Meanwhile, analysts predicted 3.0%. However, consumer spending increased at 3.8%, it is the best number in more than a year. Business equipment investment rose at the fastest pace in three years. A key measure of underlying demand delivered the strongest performance since 2014 and inflation picked up will support the rising of interest rates in coming months.
- The power of words. Haruhiko Kuroda announced in Davos that the central back nearly achieved the final inflation target. It caused an expectation of an exit from its massive stimulus and the rise of the yen as well.
- The Aussie is close to reverse. Aussie is supposed to go into reverse because the Federal Reserve continues to raise interest rates and the Reserve Bank of Australia keeps borrowing costs at a record low. The Australian economy is not interested in the strong Australian dollar. Economists predict Aussie trading closer to 70 U.S. cents than 80 cents in 12 months.
- Talks around NAFTA. Canada and Mexica refused to renegotiate the NAFTA dispute-resolution mechanism, that is one of the major points of negotiations between participants of NAFTA. It can lead to a fast exit of the USA from the organization.
- Uncertainty about NAFTA affected Canadian and New Zealand dollar as well. On the daily chart, we can see the fall of both New Zealand dollar and Canadian dollar. Falls are not great, however, continuing uncertainty of NAFTA negotiations can cause another fall.
- A deadline! Donald Trump faced a deadline to impose sanctions against Russia. The Treasury Department has prepared a list of companies and people who will be under sanctions.
America’s on the verge of starting an investigation into whether thermoplastic components utilized in some Japanese as well as German vehicles sold in the country violate its patent laws or not…
On Monday, gold headed south in European trade, making its way toward a three-week minimum after American congressional leaders came to an agreement to fund the government via the fall, thus easing worries as for a shutdown of the federal government…
On Tuesday, crude prices traded weaker because a poll on Chinese manufacturing came in weaker than expected and market participants looked ahead to American inventories on oil as well as refined products to set the overall tone…