Copper up on China growth, weak US dollar
JULY 24, 20177:51AM
Maytaal AngelReuters
Copper has hit a 4-1/2 month peak, fuelled by strong growth in top copper consumer China, a weak US dollar and worries about supply disruptions.

The dollar hit a two year low versus the euro, as the single currency rallied on bets the European Central Bank would tweak its policy stimulus in the autumn.

A weaker dollar makes dollar-priced copper cheaper for non-US investors.

Also helping copper, China's economy expanded faster-than-expected in the second quarter, data showed Monday, setting the country on course to comfortably meet its 2017 growth target.


"Overall demand in China is not that bad at all," said Richard Fu, head of Asia and Pacific at LME Floor Member AMT.

"In general global economic figures are improving, there's supply disruptions here and there, plus the Chinese want to cut metal production in order to tackle pollution and over-capacity," he added.

FUNDAMENTALS

* LME COPPER: Three-month LME copper rose 1.17 per cent to $US6,028 a tonne by 0956 GMT, having earlier hit its highest since March 1 at $US6,042.50.

* INVENTORIES: Copper inventories in Shanghai Futures Exchange-monitored warehouses fell 4.9 per cent from last Friday to their lowest since January.

* PERU STRIKES: Unionised workers in Peru, the world's second-biggest copper producer, began a nationwide strike on Wednesday to protest against labour reforms, but significant disruptions to output were not expected.

* WAGE TALKS: Union-represented workers and management at Antofagasta's Zaldivar copper mine failed to reach a wage deal on Thursday and agreed to extend government-mediated talks into next week.

* COPPER DEFICIT: The global world refined copper market showed a 53,000 tonnes deficit in April, compared with an 18,000 tonnes deficit in March, industry data showed.

* CHINA FORECASTS: The Asian Development Bank raised its 2017 and 2018 growth forecasts for China and other countries in the region.

* ALUMINIUM OUTPUT: Daily average primary aluminium output excluding China rose to 70,300 tonnes in June, from 70,000 tonnes in May, industry data showed.

"Although sweeping production cuts were announced in recent months, especially in China, they have not been implemented so far or have been offset by new capacities. We see no justification for the high aluminium price," said Commerzbank in a note.

* SPREADS: Discounts of cash copper, aluminium and lead to their three-month contracts were near multi-year highs, signalling ample nearby supply. , ,

* US ECONOMY: Jobless claims fell more than expected to the lowest level in nearly five months, suggesting strong job gains that should continue to underpin economic growth.

* TRUMPCARE: Republicans failed to resolve differences on healthcare legislation, fuelling doubts that President Donald Trump can deliver promised economic stimulus that would boost demand for metals.

Copper up on China growth, weak US dollar
JULY 24, 20177:51AM
Maytaal AngelReuters
Copper has hit a 4-1/2 month peak, fuelled by strong growth in top copper consumer China, a weak US dollar and worries about supply disruptions.

The dollar hit a two year low versus the euro, as the single currency rallied on bets the European Central Bank would tweak its policy stimulus in the autumn.

A weaker dollar makes dollar-priced copper cheaper for non-US investors.

Also helping copper, China's economy expanded faster-than-expected in the second quarter, data showed Monday, setting the country on course to comfortably meet its 2017 growth target.


"Overall demand in China is not that bad at all," said Richard Fu, head of Asia and Pacific at LME Floor Member AMT.

"In general global economic figures are improving, there's supply disruptions here and there, plus the Chinese want to cut metal production in order to tackle pollution and over-capacity," he added.

FUNDAMENTALS

* LME COPPER: Three-month LME copper rose 1.17 per cent to $US6,028 a tonne by 0956 GMT, having earlier hit its highest since March 1 at $US6,042.50.

* INVENTORIES: Copper inventories in Shanghai Futures Exchange-monitored warehouses fell 4.9 per cent from last Friday to their lowest since January.

* PERU STRIKES: Unionised workers in Peru, the world's second-biggest copper producer, began a nationwide strike on Wednesday to protest against labour reforms, but significant disruptions to output were not expected.

* WAGE TALKS: Union-represented workers and management at Antofagasta's Zaldivar copper mine failed to reach a wage deal on Thursday and agreed to extend government-mediated talks into next week.

* COPPER DEFICIT: The global world refined copper market showed a 53,000 tonnes deficit in April, compared with an 18,000 tonnes deficit in March, industry data showed.

* CHINA FORECASTS: The Asian Development Bank raised its 2017 and 2018 growth forecasts for China and other countries in the region.

* ALUMINIUM OUTPUT: Daily average primary aluminium output excluding China rose to 70,300 tonnes in June, from 70,000 tonnes in May, industry data showed.

"Although sweeping production cuts were announced in recent months, especially in China, they have not been implemented so far or have been offset by new capacities. We see no justification for the high aluminium price," said Commerzbank in a note.

* SPREADS: Discounts of cash copper, aluminium and lead to their three-month contracts were near multi-year highs, signalling ample nearby supply. , ,

* US ECONOMY: Jobless claims fell more than expected to the lowest level in nearly five months, suggesting strong job gains that should continue to underpin economic growth.

* TRUMPCARE: Republicans failed to resolve differences on healthcare legislation, fuelling doubts that President Donald Trump can deliver promised economic stimulus that would boost demand for metals.

Copper prices grind away at overhead resistance

21st July, 2017 11:32 AM by Will Adams
FastMarkets

Base metals prices on the London Metal Exchange are up by an average of 0.5% this morning, Friday July 21. Tin is bucking the trend with prices off 0.1% at $20,090 per tonne, while the rest have gains of between 0.4% for aluminium and 0.7% for zinc, with three-month copper prices up 0.6% at $6,009 per tonne. Copper seems to be grinding away at overhead supply.

Volume has been average with 6,334 lots traded as of 07:22 BST.

This comes after a day of consolidation on Thursday when copper, lead and tin closed slightly higher, aluminium and zinc closed off around 0.3% and nickel dropped 1.5% to $9,510 per tonne.

U.S. Dollar Sunk by Wave of Buying in Aussie, Euro
23 hours agoByJames Hyerczyk
The U.S. Dollar hit its lowest level against a basket of currencies since August 2016 last week as a boatload of negative factors piled up against the Greenback, causing investors to lose confidence in the currency.
September U.S. Dollar Index futures finished the week at 93.679, down 1.251 or -1.32%.
U.S. Dollar Index
Weekly September U.S. Dollar Index
The dollar was under pressure at the start of the week because dovish comments from Fed Chair Janet Yellen and disappointing consumer inflation and retail sales the previous week lowered the chances of a third Fed rate hike later in the year.
Last week’s selling pressure came in waves. The first wave of selling was fueled by a steep rally in the Australian Dollar that was caused by hawkish comments from the Reserve Bank of Australia (RBA). The second wave of selling was attributed to hawkish comments from European Central Bank (ECB) President Mario Draghi, which drove the Euro to a multi-year high.

U.S. Dollar Sunk by Wave of Buying in Aussie, Euro
23 hours agoByJames Hyerczyk
The U.S. Dollar hit its lowest level against a basket of currencies since August 2016 last week as a boatload of negative factors piled up against the Greenback, causing investors to lose confidence in the currency.
September U.S. Dollar Index futures finished the week at 93.679, down 1.251 or -1.32%.
U.S. Dollar Index
Weekly September U.S. Dollar Index
The dollar was under pressure at the start of the week because dovish comments from Fed Chair Janet Yellen and disappointing consumer inflation and retail sales the previous week lowered the chances of a third Fed rate hike later in the year.
Last week’s selling pressure came in waves. The first wave of selling was fueled by a steep rally in the Australian Dollar that was caused by hawkish comments from the Reserve Bank of Australia (RBA). The second wave of selling was attributed to hawkish comments from European Central Bank (ECB) President Mario Draghi, which drove the Euro to a multi-year high.

U.S. Dollar Sunk by Wave of Buying in Aussie, Euro
23 hours agoByJames Hyerczyk
The U.S. Dollar hit its lowest level against a basket of currencies since August 2016 last week as a boatload of negative factors piled up against the Greenback, causing investors to lose confidence in the currency.
September U.S. Dollar Index futures finished the week at 93.679, down 1.251 or -1.32%.
U.S. Dollar Index
Weekly September U.S. Dollar Index
The dollar was under pressure at the start of the week because dovish comments from Fed Chair Janet Yellen and disappointing consumer inflation and retail sales the previous week lowered the chances of a third Fed rate hike later in the year.
Last week’s selling pressure came in waves. The first wave of selling was fueled by a steep rally in the Australian Dollar that was caused by hawkish comments from the Reserve Bank of Australia (RBA). The second wave of selling was attributed to hawkish comments from European Central Bank (ECB) President Mario Draghi, which drove the Euro to a multi-year high.

Net total asset: RM0.59

218% = up to RM 0.50

Us dollar index is 93.97 down from previous close 94.24

Washington: The United States is closely and carefully following the border standoff between India and China, the Trump Administration said today urging the two countries to engage in dialogue to "reduce tension".

"This is a situation that we are following closely and carefully. I'd have to refer you to the governments of India and China for more information on that," State Department Spokesman Heather Nauert told reporters at a news conference.


Responding to a question, she said the Indians and Chinese are talking on those issues.

"They're going to talk to one another," she said ahead of the Beijing visit of the National Security Advisor Ajit K Doval to attend the BRICS meeting on July 27 and 28.

"We would encourage them to engage in direct dialogue aimed at reducing tensions," Ms Nauert said.

India yesterday said it is ready for talks with China with both sides first pulling back their armies to end the tense standoff in the Sikkim sector, stressing the need for a "peaceful resolution" of border issues.

Bottom falling out of US dollar: Drops to near 2-year low vs the euro, 2017 loss now 10%
The dollar hit a nearly two-year low against the euro, after the European Central Bank signaled it could start discussing in the fall a plan to pare back its bond purchases.
The dollar was also under pressure because of concerns the Russian investigation could slow down tax reform and other pro-growth policies of the Trump administration.
One strategist said there's no longer any resistance against dollar weakening.
Patti Domm | @pattidomm

Bottom falling out of US dollar: Drops to near 2-year low vs the euro, 2017 loss now 10%
The dollar hit a nearly two-year low against the euro, after the European Central Bank signaled it could start discussing in the fall a plan to pare back its bond purchases.
The dollar was also under pressure because of concerns the Russian investigation could slow down tax reform and other pro-growth policies of the Trump administration.
One strategist said there's no longer any resistance against dollar weakening.
Patti Domm | @pattidomm

NEW ISSUE OF SECURITIES (CHAPTER 6 OF LISTING REQUIREMENTS) : FUND RAISING PRINSIPTEK CORPORATION BERHAD ("PCB" OR THE "COMPANY") PRIVATE PLACEMENT OF UP TO 10% OF THE ISSUED SHARES IN PCB

KUALA LUMPUR: AmInvestment Research sees the ringgit trading around 4.12 to 4.15 to the US dollar on Friday following several concerns affecting the greenback.

In a note to clients, the research house pointed out that it appears that the US$ is on the hit due to (1) concerns the Russian investigation may slowdown tax reform & other growth policies; (2) the potential story of Euro tapering; and (3) slower interest rate hike cycle by the Fed.

“These noises somewhat support our view that the intraday trade for ringgit against the US$ could reach around 4.12-4.15 from our fundamental analysis during our computation.

KUALA LUMPUR: AmInvestment Research sees the ringgit trading around 4.12 to 4.15 to the US dollar on Friday following several concerns affecting the greenback.

In a note to clients, the research house pointed out that it appears that the US$ is on the hit due to (1) concerns the Russian investigation may slowdown tax reform & other growth policies; (2) the potential story of Euro tapering; and (3) slower interest rate hike cycle by the Fed.

“These noises somewhat support our view that the intraday trade for ringgit against the US$ could reach around 4.12-4.15 from our fundamental analysis during our computation.

Remember, now be your friends, future at be your enemy. Now your enemy, future may be your friends. No forever friends or enemy.

India join US side against China.

July 20, 2017 10:00 am JST
In a signal to China, India joins US-Japan naval exercises
Beijing's ramped-up Indian Ocean activity has New Delhi on 'full alert'
AKIRA HAYAKAWA, Nikkei staff writer
MUMBAI India is stepping up its guard against China on the high seas as well. In the Indian Ocean, on the sea route in China's "One Belt, One Road" initiative, a joint exercise was recently conducted by Japan, the U.S. and India.

The Indian navy sent an aircraft carrier to the event for the first time, and the exercise was carried out in mid-July with the American nuclear-powered aircraft carrier USS Nimitz and the Japanese Maritime Self-Defense warship Izumo, a helicopter carrier.

The joint exercises have been conducted intermittently since 2007, and the three countries all say they are not targeted at any specific country. However, they apparently hope to send a message to China. In particular, "India has been on full alert for China's move," according to a person involved in the joint exercise, as the Indian navy has spotted a dozen Chinese warships and other vessels as well as submarines in the Indian Ocean in past two months.

China has been increasingly active around the Indian Ocean in recent years. A Chinese submarine entered the port of Colombo in Sri Lanka in 2014. In the east, port construction led by China is under way in Myanmar and Bangladesh. In the west, the port of Gwadar in southern Pakistan was built with Chinese support, and Chinese warships and other vessels have called there. The Chinese navy has set up a base in Djibouti in Africa as well.

At the U.S.-India summit in June, Prime Minister Narendra Modi emphasized the importance of strengthening and expanding cooperation in defense and security. In a bilateral meeting on the sidelines of the Group of 20 summit in Hamburg, Germany, earlier this month, Japanese Prime Minister Shinzo Abe and Modi agreed to strengthen cooperation in naval security.

July 20, 2017 10:00 am JST
In a signal to China, India joins US-Japan naval exercises
Beijing's ramped-up Indian Ocean activity has New Delhi on 'full alert'
AKIRA HAYAKAWA, Nikkei staff writer
MUMBAI India is stepping up its guard against China on the high seas as well. In the Indian Ocean, on the sea route in China's "One Belt, One Road" initiative, a joint exercise was recently conducted by Japan, the U.S. and India.

The Indian navy sent an aircraft carrier to the event for the first time, and the exercise was carried out in mid-July with the American nuclear-powered aircraft carrier USS Nimitz and the Japanese Maritime Self-Defense warship Izumo, a helicopter carrier.

The joint exercises have been conducted intermittently since 2007, and the three countries all say they are not targeted at any specific country. However, they apparently hope to send a message to China. In particular, "India has been on full alert for China's move," according to a person involved in the joint exercise, as the Indian navy has spotted a dozen Chinese warships and other vessels as well as submarines in the Indian Ocean in past two months.

China has been increasingly active around the Indian Ocean in recent years. A Chinese submarine entered the port of Colombo in Sri Lanka in 2014. In the east, port construction led by China is under way in Myanmar and Bangladesh. In the west, the port of Gwadar in southern Pakistan was built with Chinese support, and Chinese warships and other vessels have called there. The Chinese navy has set up a base in Djibouti in Africa as well.

At the U.S.-India summit in June, Prime Minister Narendra Modi emphasized the importance of strengthening and expanding cooperation in defense and security. In a bilateral meeting on the sidelines of the Group of 20 summit in Hamburg, Germany, earlier this month, Japanese Prime Minister Shinzo Abe and Modi agreed to strengthen cooperation in naval security.

China’s tanks and soldiers ‘READY FOR WAR’ as army hurtles to border
CHINA has sent thousands of tanks and vehicles to its border amid fears of a looming explosive war.




7
By Henry Holloway / Published 19th July 2017
People's Liberation ArmyGETTY
CHINA: People's Liberation Army forces have been shipped a disputed border
Beijing has deployed the People’s Liberation Army to its western frontier over a deepening feud with rival India.

Military hardware has been shipped on freight trains to the Sikkim province as conflict looms.

The two nuclear-armed neighbours have been at each others throats as they both stake a claim to disputed lands on the border.

Soldiers and ground vehicles have been deployed as China carries out live fire drills in the Himalayas.

China’s tanks and soldiers ‘READY FOR WAR’ as army hurtles to border
CHINA has sent thousands of tanks and vehicles to its border amid fears of a looming explosive war.




7
By Henry Holloway / Published 19th July 2017
People's Liberation ArmyGETTY
CHINA: People's Liberation Army forces have been shipped a disputed border
Beijing has deployed the People’s Liberation Army to its western frontier over a deepening feud with rival India.

Military hardware has been shipped on freight trains to the Sikkim province as conflict looms.

The two nuclear-armed neighbours have been at each others throats as they both stake a claim to disputed lands on the border.

Soldiers and ground vehicles have been deployed as China carries out live fire drills in the Himalayas.

Quickly run. Yes. Yes. Come to papa at 0.09.

Chase them all. Scare them all.

0.09 is coming. Yes.

PETALING JAYA: With scale being an increasingly important factor in the local banking industry, talk has now emerged that Alliance Financial Group Bhd (AFG) could be looking to merge with Hong Leong Bank Bhd (HLB).

The twist, though, is that AFG, which is the smallest financial institution in Malaysia in terms of asset size, could be the acquirer in the potential merger and acquisition (M&A) exercise, instead of being the target company to be acquired, according to UOBKayHian Research.

“Scale has always been a stumbling block for AFG. Without scale, the group has to stay competitive by targeting niche segments, while investments would require longer payback periods without the benefits of economies of scale ... as such, it is not surprising that the latest market rumours involve a potential merger with HLB and AFG being the potential acquirer,” the brokerage wrote in its report.

HLB is the fifth-largest lender by assets in Malaysia. The 64%-owned unit of Hong Leong Financial Group Bhd is listed as the main earnings driver for its parent company.

Meanwhile, AFG last Thursday dismissed speculation that it was the subject of a merger. The bank, which saw some changes in shareholding, said it was financially sound and looking to lift its returns to shareholders.

In rationalising the potential M&A between AFG and HLB, UOBKayHian said completion of the exercise would result in a quantum leap in AFG’s scale, with its branch network increasing from 94 to 394 branches. This would outpace Malayan Banking Bhd’s 363 domestic branches.

In addition, the merged entity would be valued at RM266bil in terms of total assets. This would make it the fifth-largest institution after the merged RHB Bank Bhd-AMMB Holdings Bhd.

“Such a merger will likely be near-term dilutive, but the potential synergies that can be derived from the quantum leap in scale and cross-selling opportunities arising from a low level of customer duplication and expertise would be highly beneficial for AFG over the longer term,” UOBKayHian explained.

“Given AFG’s small scale, duplication can be well-contained and the cultural similarities of both banks will ensure lower execution risk post-merger,” it said.

AFG’s strength lies in the small and medium enterprise (SME) segment, which provides for a strong SME CASA (current and savings account) base, whereas HLB’s strength is within the more affluent consumer segment, which provides for a strong retail deposit base.

“In terms of structural similarities, both banks have a fairly strong liquidity franchise and cost discipline, with HLB having a slightly stronger asset quality edge,” UOBKayHian said.

NEW YORK (Reuters) - The outlook for the U.S. dollar turned even more bearish on Tuesday after healthcare reform legislation again failed to pass in Congress, casting further doubt on whether the Trump administration will be able to progress to tax reform, infrastructure improvements, and banking deregulation.

The U.S. dollar index .DXY that tracks the greenback's strength against major currencies slid to an 10-month low in the wake of setback to President Trump's agenda.

And with the euro and yen both gaining on the possibility that the European Central Bank and Bank of Japan will raise interest rates later this year as their economies improve, the dollar's decline of the past five months may well continue.

"The prospects for the dollar have turned bearish for the rest of year," said Minh Trang, senior currency trader at Silicon Valley Bank in Santa Clara, California.

By Hideyuki Sano
TOKYO (Reuters) - The U.S. dollar sank to a 10-month low against a basket of major currencies on Tuesday, hobbled by uncertainty over the pace of the Federal Reserve's policy tightening and worries that President Donald Trump will fail to deliver healthcare reforms.
The dollar's index against a basket of six major currencies sank to a 10-month low of 94.75. From its 14-year peak of 103.82 touched on Jan. 3, it has lost 8.4 percent.
Two more Republican Senators, Jerry Moran and Mike Lee, announced their opposition on Monday to a revised Republican healthcare bill, delivering a serious blow to the legislation.
"If the bills won't pass, there will be no money for tax cuts. The implementation of his fiscal policy will be difficult," said Bart Wakabayashi, Tokyo Branch Manager of State Street.
Friday's weak reading on U.S. inflation and retail sales also fanned speculation that the Fed may not have justification for another rate hike by the end of this year, despite policymakers' projection for such a move.
Money market instruments are now pricing in less than 50 percent chance of a rate increase during the rest of the year.
In contrast, central bank policymakers in the euro zone, the UK and Canada have recently signaled they could adjust their policies, with the Bank of Canada raising rates last week for the first time since 2010.

By Hideyuki Sano
TOKYO (Reuters) - The U.S. dollar sank to a 10-month low against a basket of major currencies on Tuesday, hobbled by uncertainty over the pace of the Federal Reserve's policy tightening and worries that President Donald Trump will fail to deliver healthcare reforms.
The dollar's index against a basket of six major currencies sank to a 10-month low of 94.75. From its 14-year peak of 103.82 touched on Jan. 3, it has lost 8.4 percent.
Two more Republican Senators, Jerry Moran and Mike Lee, announced their opposition on Monday to a revised Republican healthcare bill, delivering a serious blow to the legislation.
"If the bills won't pass, there will be no money for tax cuts. The implementation of his fiscal policy will be difficult," said Bart Wakabayashi, Tokyo Branch Manager of State Street.
Friday's weak reading on U.S. inflation and retail sales also fanned speculation that the Fed may not have justification for another rate hike by the end of this year, despite policymakers' projection for such a move.
Money market instruments are now pricing in less than 50 percent chance of a rate increase during the rest of the year.
In contrast, central bank policymakers in the euro zone, the UK and Canada have recently signaled they could adjust their policies, with the Bank of Canada raising rates last week for the first time since 2010.

By Hideyuki Sano
TOKYO (Reuters) - The U.S. dollar sank to a 10-month low against a basket of major currencies on Tuesday, hobbled by uncertainty over the pace of the Federal Reserve's policy tightening and worries that President Donald Trump will fail to deliver healthcare reforms.
The dollar's index against a basket of six major currencies sank to a 10-month low of 94.75. From its 14-year peak of 103.82 touched on Jan. 3, it has lost 8.4 percent.
Two more Republican Senators, Jerry Moran and Mike Lee, announced their opposition on Monday to a revised Republican healthcare bill, delivering a serious blow to the legislation.
"If the bills won't pass, there will be no money for tax cuts. The implementation of his fiscal policy will be difficult," said Bart Wakabayashi, Tokyo Branch Manager of State Street.
Friday's weak reading on U.S. inflation and retail sales also fanned speculation that the Fed may not have justification for another rate hike by the end of this year, despite policymakers' projection for such a move.
Money market instruments are now pricing in less than 50 percent chance of a rate increase during the rest of the year.
In contrast, central bank policymakers in the euro zone, the UK and Canada have recently signaled they could adjust their policies, with the Bank of Canada raising rates last week for the first time since 2010.

urrencies
US dollar falls to 10-month low on doubts the Fed will raise rates again in 2017
Bets up that Federal Reserve is done increasing US interest rates
PUBLISHED : Tuesday, 18 July, 2017, 4:48am
UPDATED : Tuesday, 18 July, 2017, 9:58am
COMMENTS:


Reuters
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China’s currency gained for the sixth straight day after China raised its daily reference rate. Photo: Reuters
INVESTOR RELATIONS
Yuan advances as GDP data points to building momentum
17 Jul 2017
The yen may have a lot further to fall with the Bank of Japan resolutely committed to its ultra-accommodative policy. Photo: Reuters
OPINION
Bank of Japan’s stance makes yen a sitting duck
11 Jul 2017
Bank notes of the Euro, Hong Kong dollar, US dollar, Japanese yen, pound and Chinese yuan are seen in this picture illustration. Photo: Reuters
BANKING & FINANCE
US dollar hits two-month high against the yen
11 Jul 2017
The US dollar hit its lowest level against a basket of major currencies in 10 months on Monday and the Australian dollar hit a more than two-year high on strong Chinese economic data and doubts that the Federal Reserve would raise interest rates again this year.
SCMP TODAY: HK EDITION
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China’s second-quarter gross domestic product topped forecasts with a rise of 6.9 per cent on the year, while retail sales and industrial output from the world’s second-largest economy were both strong.
The data boosted the Australian dollar given the country’s trade relationship with China, analysts said. The Aussie shot to a more than two-year high of US$0.7840, with bulls targeting the 200-week moving average around US$0.8018, before turning negative against the dollar and last trading down 0.3 per cent at US$0.7801.
Fed chief Yellen says US economy healthy enough for more rate increases

The dollar hit more than two-week lows against the onshore and offshore yuan, respectively, of 6.7645 yuan and 6.7602 yuan but last traded mostly flat.

urrencies
US dollar falls to 10-month low on doubts the Fed will raise rates again in 2017
Bets up that Federal Reserve is done increasing US interest rates
PUBLISHED : Tuesday, 18 July, 2017, 4:48am
UPDATED : Tuesday, 18 July, 2017, 9:58am
COMMENTS:


Reuters
Reuters
5SHARE

PrintEmail
RELATED TOPICS
Currencies
Related Articles
China’s currency gained for the sixth straight day after China raised its daily reference rate. Photo: Reuters
INVESTOR RELATIONS
Yuan advances as GDP data points to building momentum
17 Jul 2017
The yen may have a lot further to fall with the Bank of Japan resolutely committed to its ultra-accommodative policy. Photo: Reuters
OPINION
Bank of Japan’s stance makes yen a sitting duck
11 Jul 2017
Bank notes of the Euro, Hong Kong dollar, US dollar, Japanese yen, pound and Chinese yuan are seen in this picture illustration. Photo: Reuters
BANKING & FINANCE
US dollar hits two-month high against the yen
11 Jul 2017
The US dollar hit its lowest level against a basket of major currencies in 10 months on Monday and the Australian dollar hit a more than two-year high on strong Chinese economic data and doubts that the Federal Reserve would raise interest rates again this year.
SCMP TODAY: HK EDITION
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China’s second-quarter gross domestic product topped forecasts with a rise of 6.9 per cent on the year, while retail sales and industrial output from the world’s second-largest economy were both strong.
The data boosted the Australian dollar given the country’s trade relationship with China, analysts said. The Aussie shot to a more than two-year high of US$0.7840, with bulls targeting the 200-week moving average around US$0.8018, before turning negative against the dollar and last trading down 0.3 per cent at US$0.7801.
Fed chief Yellen says US economy healthy enough for more rate increases

The dollar hit more than two-week lows against the onshore and offshore yuan, respectively, of 6.7645 yuan and 6.7602 yuan but last traded mostly flat.

Chase them all. Scare them all.

0.09 coming soon. Dump now.

The ugly finish for the US dollar points to trouble ahead
Sun 16 Jul 2017 13:04:09 GMT Author: Adam Button | Category: News
Author: Adam Button

share
US dollar closed on the lows



No one stepped up to but the US dollar on Friday, it closed on the lows of very close against the euro, Australian dollar and the Canadian dollar. Sterling wasn't far away.

The market -- generally -- still likes the US dollar but a close on the weekly lows is a technical signal you can't ignore. Add in the breakouts against the pound, CAD and Aussie, and you have a recipe for a brutal week ahead.

What's even worse is that there is no top-tier data on the calendar to give USD a hand; and the Fed is in the communication blackout.

The ugly finish for the US dollar points to trouble ahead
Sun 16 Jul 2017 13:04:09 GMT Author: Adam Button | Category: News
Author: Adam Button

share
US dollar closed on the lows



No one stepped up to but the US dollar on Friday, it closed on the lows of very close against the euro, Australian dollar and the Canadian dollar. Sterling wasn't far away.

The market -- generally -- still likes the US dollar but a close on the weekly lows is a technical signal you can't ignore. Add in the breakouts against the pound, CAD and Aussie, and you have a recipe for a brutal week ahead.

What's even worse is that there is no top-tier data on the calendar to give USD a hand; and the Fed is in the communication blackout.

The ugly finish for the US dollar points to trouble ahead
Sun 16 Jul 2017 13:04:09 GMT Author: Adam Button | Category: News
Author: Adam Button

share
US dollar closed on the lows



No one stepped up to but the US dollar on Friday, it closed on the lows of very close against the euro, Australian dollar and the Canadian dollar. Sterling wasn't far away.

The market -- generally -- still likes the US dollar but a close on the weekly lows is a technical signal you can't ignore. Add in the breakouts against the pound, CAD and Aussie, and you have a recipe for a brutal week ahead.

What's even worse is that there is no top-tier data on the calendar to give USD a hand; and the Fed is in the communication blackout.

Dollar falls after US CPI, retail data disappoint
0
Reuters, New York
The dollar extended its earlier decline against a basket of major currencies on Friday, after weaker-than-forecast data on consumer prices and retail sales in June raised doubts about US economic growth and whether the Federal Reserve would raise interest rates again in 2017.

US consumer prices were unchanged in June and retail sales fell for a second straight month, pointing to tame inflation.

Economists had forecast the CPI edging up 0.1 percent last month and its drop of 0.1 percent in May and the lack of a rebound in June could trouble Fed officials who have largely viewed the recent moderation in price pressures as transitory.

"The CPI data begs the question, at what point does transitory becomes something that is more sustained, in terms of the softness," said Richard Franulovich, senior currency strategist at Westpac Banking Corp in New York.

The dollar index, which tracks the greenback against six major rivals, was down 0.5 to 95.248 after earlier falling to 95.186, its lowest since September 2016.

Dollar falls after US CPI, retail data disappoint
0
Reuters, New York
The dollar extended its earlier decline against a basket of major currencies on Friday, after weaker-than-forecast data on consumer prices and retail sales in June raised doubts about US economic growth and whether the Federal Reserve would raise interest rates again in 2017.

US consumer prices were unchanged in June and retail sales fell for a second straight month, pointing to tame inflation.

Economists had forecast the CPI edging up 0.1 percent last month and its drop of 0.1 percent in May and the lack of a rebound in June could trouble Fed officials who have largely viewed the recent moderation in price pressures as transitory.

"The CPI data begs the question, at what point does transitory becomes something that is more sustained, in terms of the softness," said Richard Franulovich, senior currency strategist at Westpac Banking Corp in New York.

The dollar index, which tracks the greenback against six major rivals, was down 0.5 to 95.248 after earlier falling to 95.186, its lowest since September 2016.

Dollar falls after US CPI, retail data disappoint
0
Reuters, New York
The dollar extended its earlier decline against a basket of major currencies on Friday, after weaker-than-forecast data on consumer prices and retail sales in June raised doubts about US economic growth and whether the Federal Reserve would raise interest rates again in 2017.

US consumer prices were unchanged in June and retail sales fell for a second straight month, pointing to tame inflation.

Economists had forecast the CPI edging up 0.1 percent last month and its drop of 0.1 percent in May and the lack of a rebound in June could trouble Fed officials who have largely viewed the recent moderation in price pressures as transitory.

"The CPI data begs the question, at what point does transitory becomes something that is more sustained, in terms of the softness," said Richard Franulovich, senior currency strategist at Westpac Banking Corp in New York.

The dollar index, which tracks the greenback against six major rivals, was down 0.5 to 95.248 after earlier falling to 95.186, its lowest since September 2016.

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https://www.ft.com/content/dc2523dc-c110-37fb-b87b-6839cf727658

US Dollar Add to myFT
US dollar hits lowest point in nearly 10 months

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13 HOURS AGO by: Jessica Dye
The US dollar has fallen to its lowest point in nearly 10 months on the heels of soft data on inflation and retail sales that have dimmed expectations for a third interest-rate increase in 2017.

The dollar index — which measures the greenback against a basket of peer currencies — has declined 0.6 per cent on Friday, taking it to 95.15 — its lowest point since late September, according to Bloomberg data. The index is also on track for its steepest one-day slide since June 27.

The weak reports have thrown into question whether policymakers at the Federal Reserve have been right to see other soft economic data since the start of the year as “transitory”, justifying their decision to forge ahead, for now, on a planned course of interest-rate increases in 2017.

Please use the sharing tools found via the email icon at the top of articles. Copying articles to share with others is a breach of FT.com T&Cs and Copyright Policy. Email licensing@ft.com to buy additional rights. Subscribers may share up to 10 or 20 articles per month using the gift article service. More information can be found at https://www.ft.com/tour.
https://www.ft.com/content/dc2523dc-c110-37fb-b87b-6839cf727658

US Dollar Add to myFT
US dollar hits lowest point in nearly 10 months

fastFT
Share on Twitter (opens new window)
Share on Facebook (opens new window)
Share on LinkedIn (opens new window)
Save
13 HOURS AGO by: Jessica Dye
The US dollar has fallen to its lowest point in nearly 10 months on the heels of soft data on inflation and retail sales that have dimmed expectations for a third interest-rate increase in 2017.

The dollar index — which measures the greenback against a basket of peer currencies — has declined 0.6 per cent on Friday, taking it to 95.15 — its lowest point since late September, according to Bloomberg data. The index is also on track for its steepest one-day slide since June 27.

The weak reports have thrown into question whether policymakers at the Federal Reserve have been right to see other soft economic data since the start of the year as “transitory”, justifying their decision to forge ahead, for now, on a planned course of interest-rate increases in 2017.

S&P 500 2,459 +11.44 +0.47%
Home Markets U.S. & Canada Futures Movers
Oil ends higher to tally a gain of more than 5% for the week
By Myra P. Saefong and Sara Sjolin
Published: July 14, 2017 3:06 p.m. ET

SHARE
8

Nigeria supply setback, higher crude demand forecast lift prices
Getty Images
Oil scored a weekly gain of more than 5% on Friday, as reports of supply issues in Nigeria and a higher forecast for crude demand helped send prices up for a fifth session in a row, to their highest finish in nearly two weeks.

August West Texas Intermediate crude CLQ7, +1.30% rose 46 cents, or 1%, to settle at $46.54 a barrel on the New York Mercantile Exchange. It rose roughly 5.2% for the week and settled at its highest since July 3, according to FactSet data. September Brent crude LCOU7, +1.38% on London’s ICE Futures exchange climbed 49 cents, or 1%, to $48.91 a barrel, with prices up about 4.7% from a week ago.

S&P 500 2,459 +11.44 +0.47%
Home Markets U.S. & Canada Futures Movers
Oil ends higher to tally a gain of more than 5% for the week
By Myra P. Saefong and Sara Sjolin
Published: July 14, 2017 3:06 p.m. ET

SHARE
8

Nigeria supply setback, higher crude demand forecast lift prices
Getty Images
Oil scored a weekly gain of more than 5% on Friday, as reports of supply issues in Nigeria and a higher forecast for crude demand helped send prices up for a fifth session in a row, to their highest finish in nearly two weeks.

August West Texas Intermediate crude CLQ7, +1.30% rose 46 cents, or 1%, to settle at $46.54 a barrel on the New York Mercantile Exchange. It rose roughly 5.2% for the week and settled at its highest since July 3, according to FactSet data. September Brent crude LCOU7, +1.38% on London’s ICE Futures exchange climbed 49 cents, or 1%, to $48.91 a barrel, with prices up about 4.7% from a week ago.

When goes up, I hitting my toe with my own hammer. Ouch! Ouch!

0.16 is coming. Oh! Ouch! Ouch! Very painful. I am very scare like a tortoises.

Dividend.Dividend.Dividend. 1.20 to 1.30.

May reach 1.15 soon.

Oh! I am very scare. Scary ha ha.

Oil Prices Could Head Back Over $50 Before Year End
Jul. 13, 2017 1:55 PM ET| Includes: USO

HiddenValueInvestor
Long only, value

(916 followers)
Summary

Growing U.S. petroleum exports could balance U.S. oil supply and demand more quickly than the market expects.
Oil and fuel storage in the U.S. could return to the middle of the range of the five-year-average based on the growth in exports.
The easiest and most direct way for investors to participate in a near-term rise in oil prices is to buy shares in the United States Oil Fund on the stock-market.
A surge in exports of oil and finished petroleum products could send West Texas Intermediate crude oil prices back over $50 per barrel before the end of the year. A recent New York Times article highlighted the new oil export terminal in Corpus Christi, Texas. According to the paper, "Suddenly buyers from all over the world are purchasing the new American supplies, from South Korea to India - even oil-rich Venezuela, which uses the light sweet crude that comes out of American shale to blend with its gooey heavy crude. The light crude is highly prized even while global oil markets are saturated."

Oil Prices Could Head Back Over $50 Before Year End
Jul. 13, 2017 1:55 PM ET| Includes: USO

HiddenValueInvestor
Long only, value

(916 followers)
Summary

Growing U.S. petroleum exports could balance U.S. oil supply and demand more quickly than the market expects.
Oil and fuel storage in the U.S. could return to the middle of the range of the five-year-average based on the growth in exports.
The easiest and most direct way for investors to participate in a near-term rise in oil prices is to buy shares in the United States Oil Fund on the stock-market.
A surge in exports of oil and finished petroleum products could send West Texas Intermediate crude oil prices back over $50 per barrel before the end of the year. A recent New York Times article highlighted the new oil export terminal in Corpus Christi, Texas. According to the paper, "Suddenly buyers from all over the world are purchasing the new American supplies, from South Korea to India - even oil-rich Venezuela, which uses the light sweet crude that comes out of American shale to blend with its gooey heavy crude. The light crude is highly prized even while global oil markets are saturated."