ASX is looking for a flat opening in today’s opening market. SPI is currently flat at 6236, there was a positive closes in US & European markets on Friday with Dow Jones closed up 0.1%, S & P up 0.7% & Nasdaq up 0.5%. In Europe, FTSE closed up 0.3%, CAC up 0.3% & DAX closed up 0.5%. AUDUSD had a strong run but ended up closing down 0.2% to US 0.7170 cents. In Commodities, Gold also closed down 0.2% to US 1290.35 an ounce. Brent crude oil up by 1% to US 71.55 a barrel while US oil closed up by 0.5% to US 63.89 a barrel. Iron ore up by 0.9% to US 96.47 a tonne.
A positive quarterly earnings report form JP Morgan Chase and a confidence boosted by CEO Jamie Dimon declared that US growth could go for years and there is no sign of any recession before 2022. The results helped drove optimism in European and US markets on Friday, with shares on both continents closing the session firmly higher. The US bank posted record profits and revenues for the first quarter of 2019, with many of the company’s results coming in ahead of expectations.
The solid performance in the US was offset somewhat by forecasts that Chinese economic growth could ease to its slowest pace since the early 1990’s. A Reuters poll on Friday showed China’s economic growth was expected 30 year low of 6.2% this year as sluggish demand both locally and aboard weighed on activity despite a flurry of policy support measures. Over the weekend, US Treasury Secretary Mnuchin signaled optimism over the potential for a US – China trade agreement, saying the two sides were “close to the final rounds” of negotiations.
There are a host of data releases this week that investors will be focusing on. In Australia, there is the minutes releases from RBA on Tuesday. On Wednesday, we have China’s GDP quarterly numbers due out with the market expecting a steady 6.3% and later that evening, we have CPI yearly numbers coming out in the UK with the market expecting a small increase to 2% from 1.9% the previously year.
On Thursday, job data is due out in Australia with the market expecting 15,200 job created in March with unemployment rate steady at 5%. In the evening, we have PMI numbers due out in France, Germany and retail sales numbers from UK. Retail sales are also due out in the US with the market expecting 0.7% increase from a negative 0.4% the previous month.
For further question or trading opportunities please contact on our FX specialists today.
DATA RELEASES THIS WEEK:
CAD – BOC Business Outlook Survey
AUD – Monetary Policy Meeting Minutes
GBP – Average Earnings Index 3m/y
NZD – CPI q/q
CNY – GDP q/y
GBP – CPI y/y
CAD – CPI m/m & Trade Balance
GBP – BOE Gov Carney Speaks
AUD – Employment Change & Unemployment Rate
EUR – French Flash Services PMI, German Flash Service PMI
GBP – Retail Sales m/m
CAD – Core Retails Sales m/m
USD – Core Retails Sales m/m & Retail Sales m/m