- AUDUSD is off the highs from yesterday, despite an upbeat RBA, but worse than expected trade data out of China have put pressure on the Aussie (low so far 1.0511). Other currencies trade in narrow ranges.
- Stocks: Nikkei -1.17 %, Hang Seng -0.91 %, Shanghai Composite -0.34 %, Dow Jones -0.08 %, S+P500 +0.04 %
- "The ECB has been a very determined and positive actor during the crisis, but the ECB cannot solve this alone. We are cooperating very closely with our European colleagues to find a way to reduce the excessive panic on the markets," Finnish PM Jyrki Katainen said. He said markets have not acknowledged enough Italy's and Spain's work to stabilise their public finances as their actions are not reflected in their bond rates.
- Germany's Economy Ministry is skeptical about the nation's economy, saying the outlook faces several risks, Handelsblatt reports. While the ministry expects moderate growth for the second quarter, it also sees a slowdown, the newspaper said, citing a government report. Exports, which grew 1.6 percent in the second quarter, probably will grow at a more moderate rate in the future, Handelsblatt said in a preview of an article for today's edition.
- China's export growth collapsed and imports rose less than estimated in July, adding to signs the global economy is weakening and raising the odds the government will step up measures to support expansion.
- China Data Recap Period Survey Actual Prior Revised
* Trade Balance USD July 35.05b 25.15b 31.72b 31.72b
* Exports yoy% July 8.0 1.0 11.3
* Imports yoy% July 7.0 4.7 6.3
* New Yuan Loans July 700.0b 540.1b 919.8b
- China will be more cautious about adjusting monetary policy as inflation may pick up again, according to a commentary on the front-page of the China Securities Journal today.
- The Reserve Bank of Australia raised its 2012 growth forecast on stronger- than-expected consumer demand, while saying the sustained currency strength could prove more of a drag on the economy than in the past. "Important risks revolve around exchange-rate developments," the RBA said in its quarterly monetary policy statement. "It is possible that the persistently high level of the exchange rate may be more contractionary for the economy than historical relationships suggest."
* RBA sees 2012 growth at 3.5 pct vs 3.0 pct previously
* Underlying inflation at 2.5 pct, contained in 2-3 pct band
* China slowdown stabilizing, Beijing has room to cut rates
- 1430 US Import Price Index July
- 2000 US Monthly Budget Statement July
- 0800 Germany CPI July F
- 0845 France Industrial Production June
- 0845 France Manufacturing Production June
- 0845 France Central Govt. Balance June
- 1000 Italy CPI July - 1030 UK PPI July
- 1000 Norway CPI July
- 1000 Norway Producer Prices July
- 1000 Norway Credit Indicator Growth June
Have a nice weekend !