EUROPEAN Trading Newsletter

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US CONSUMER PRICE INDEX

Friday Notes - Fear of a credit crunch intensifies by HVB Group

Gasoline prices were a little lower in July, but food prices continued to advance. The core rate likely stayed at trend of just over 2% per annum, led by substantial increases in health, education, and other services. Apparel prices also turned up, judging from recent import price data.

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Australia WESTPAC CONSUMER CONFIDENCE

Australian Consumer Sentiment Index −8.1% In August Vs July (Dow Jones)

An index of consumer sentiment in Australia fell 8.1% in August from July, compilers Westpac Banking Corp. and the Melbourne Institute said in a statement Wednesday. The index fell to 111.1 points in August in seasonally adjusted terms from 120.8 points in July, they said.

• Visit Westpac Banking site
• Australia's August Westpac consumer sentiment index falls 8.1 pct mth−on−mth (Thomson Financial News)

US PRODUCER PRICE INDEX

US July PPI up 0.6 pct, core PPI up 0.1 pct (Thomson Financial News)

WASHINGTON (Thomson Financial) − Wholesale prices rose more sharply than expected in July, as energy prices surged, while core prices rose at their fastest annual pace in nearly two years, the Labor Department said today. The department's Producer Price Index, which measures inflation pressures before they reach the consumer, rose 0.6 pct in July, sharply higher than the 0.1 pct expected.

• Read the Producer Price Index News Release text at Bureau of Labor Statistics
• DATA SNAP: Energy Pushes US PPI Higher; But Core Contained (Dow Jones)
• US Jul Producer Price Index rises to 0.6%; ex food and energy 0.1% up (FXstreet.com)
• Table Of US PPI Data From Labor Department (Dow Jones)

Friday Notes - Fear of a credit crunch intensifies by HVB Group

US TRADE BALANCE

U.S. Trade gap narrows slightly in June (FXstreet.com)

U.S. deficit on goods and services trade has narrowed slightly in June, due to a better results in goods trade, while services trade surplus remains practically unchanged, according to the latest report by the Commerce Department. June's deficit on goods and services trade has decreased to $ 58.1 billion in June from $ 59.2 billion in May, revised up from the previously reported 6.04 billion.

• US June trade deficit falls 1.7 pct to 58.1 bln usd (Thomson Financial News)
• US Trade gap narrows to $−58.14 in Jun from $−59.16B in May (FXstreet.com)
• Table of U.S. Trade Data −4: Petroleum, Products Imports (Dow Jones)

EMU GROSS DOMESTIC PRODUCT S.A.

Euro Zone's Economical growth slows down in the 2Q (FXstreet.com)

Economy has slowed notoriously in the countries sharing the euro, and it posted the weakest quarterly increase of the last two years, according to data by Eurostat. Gross Domestic Product in the countries of the Euro Zone has increased 0.3% on the quarter, sharply below the 0.7% increase posted in the first quarter.

• Read the Euro area GDP up by 0.3%, EU27 up by 0.5% report at Eurostat
• EU 2Q Gross Domestic Product s.a. increases 0.3% from 0.7% in 1Q (FXstreet.com)
• DATA SNAP: Euro−Zone Economy Slowed Sharply In 2Q (Dow Jones)