non-manufacturing PMI up in May
BEIJING, – The purchasing managers’ index (PMI) for China’s non-manufacturing sector came in at 47.8 in May, up from 41.9 in April, the National Bureau of Statistics (NBS) said Tuesday. A reading above 50 indicates expansion, while a reading below it reflects contraction. Domestic COVID-19 infections have steadily declined in May, leading to the recovery…
Equities Start The Week Positively: A return to trend growth.
Equities Start The Week Positively: A return to trend growth, not a recession. Equity futures start the week positively, with news of easing mobility restrictions across several districts in Beijing and Shanghai supporting risk sentiment, illustrated through strength in travel and luxury sectors. Thoughts of a slower Fed rate hike glide path continue to send…
CommSec Morning Report
Latest news • US financial markets were closed on Monday for the observance of the Memorial Day holiday. • German consumer prices in May were up by 8.7% on a year earlier (survey: +8%) – the highest growth in almost 50 years. • European sharemarkets advanced on Monday. Investors were encouraged by an easing of…
Monday evening report
The Aussie sharemarket kicked the week off on a strong note and finished at session highs after the ASX 200 added 1.45 per cent or 103.9 pts, to 7286.6. A strong lead from Wall St. on Friday caused the Tech sector to climb 4.6 per cent and post its first three-day winning streak in two…
Shanghai announces plan for economic recovery
SHANGHAI, – To coordinate COVID-19 control with economic development, the municipal government of Shanghai on Sunday launched an action plan to speed up economic recovery. Under the plan, composed of 50 policies and measures, the city’s approval system for production resumption will be abandoned starting June 1, Shanghai’s deputy mayor Wu Qing told a press…
central bank adds liquidity via reverse repos
BEIJING, – China’s central bank on Monday conducted 10 billion yuan (1.49 billion U.S. dollars) of reverse repos to maintain liquidity in the banking system. The interest rate for the seven-day reverse repos was set at 2.1 percent, according to the People’s Bank of China. The move aims to keep liquidity in the banking system…
Risk sentiment has regained some of its zeal
MARKETS With help from “old reliable” US personal spending data, market sentiment continues to improve -reminding investors that it is usually a bad idea to go short the US consumer’s propensity to spend On Friday, I wrote in my note that it’s the return of the “bad news is good news” trade. That statement might…
ASIC commences civil penalty proceedings against ANZ
ASIC has commenced civil penalty proceedings in the Federal Court against Australia and New Zealand Banking Group Ltd (ANZ) for allegedly misleading its customers as to the available funds and balances in their credit card accounts. ASIC alleges that between May 2016 and November 2018, around 165,750 ANZ customers were charged cash advance fees and…
Record retail spending – Industries in solid shape
Retail trade; Industry data The Australian Bureau of Statistics (ABS) reported that retail trade rose by 0.9 per cent in April after rising 1.6 per cent in March, rising 1.8 per cent in February and after lifting by 1.6 per cent in January. Retail trade was up by 9.6 per cent on a year ago…
CommSec morning report Monday
In US economic data, personal income rose by 0.4% in April (survey: +0.5%) with spending up 0.9% (survey: +0.8%). The key inflation measure – the core personal consumption expenditure (PCE) deflator – rose by 0.3% (survey: +0.3%) in April to be up 4.9% on the year (survey: +4.9%). Wholesale inventories rose by 2.1% in April…
