The previous week saw some interesting results:
USD
Inflation ticked higher in the USA with the monthly CPI higher at 0.1% and the core CPI (excluding food and energy) at 0.6%, the latter result highlights the fact that the core inflation has leached into everyday consumer products, signaling a need for another rate rise by FED to try to lower inflation.
Monthly PPI came out as –0.1% as the prices of fuel have been steadily going down the past 2 months from their peak, but when we exclude food and energy at the core PPI, we get a monthly rise of 0.4% as inflation has affected consumer products. Crude oil inventories have come in higher at 2.4million barrels than expected 1.9 mb, signaling a buildup of crude and further price stability in the $80’s. Philly FED Manufacturing index stood at –9.9 which is a sign of worsening conditions. Industrial capacity utilization is at 80% and industrial production is at monthly –0.2% vs previous months 0.5%.
Monthly retail sales are down 0.3% with unemployment claims falling to 213k from the previous 218k.University of Michigan’s preliminary survey on consumer sentiment came a little lower than expected at 59.5 vs exp 60, but still higher than the previous 58.2 signaling that consumers are still interested to spend more.
Central Bank interest rates
- CAD 3.00%
- NZD 2.50%
- USD 2.35%
- AUD 1.75%
- GBP 1.25%
- EUR -0.10%
- JPY -0.25%
Mountain Tech Analysis 
Leave a comment