Daily Analysis – Monday February 20, 2017
Amazon will create 5,000 new jobs in the UK this year despite Brexit after Google and Apple. Retail sales were worse than expected in January. Italy’s trade balance was up globally but down regionally. The EU’s construction output fell 0.2% in December MoM.
China has banned North Korean coal exports after the launch of a missile this month. Japanese stocks were down after Sunday’s trade results; exports were up 1.3% (a third of expectations) and soared 8.5% for the first time in 2 years. The country’s trade deficit has doubled. Australian and Japanese benchmarks were marginally up this morning as the Hang Seng soared 0.73%. Chinese indexes were well above the 1% mark.
President’s Day has US markets closed, but not before Cleveland’s Federal Reserve President Loretta Mester this morning in Singapore said that interest rates could be hiked now with the economy performing nicely. Last week saw a drop in initial jobless claims, but an increase in continuing claims. Housing permits and construction starts were up; and the Philly Fed mfctg index doubled to 43.3.
Oil ended slightly up last week despite the 6-drill rise in US rigs that increases expected US production by 130,000 BpD. Iraq has increased shipments by 3% during since month’s start after cutting output by 110,000 barrels in January – half its OPEC agreement requirements. And, gold added 7 cents Friday – then fell to erase 4 days of gains.
Wal-Mart continues to move online from bricks & mortar shopping. The company has exceeded earnings expectations in the last five quarters. And in Saudi Arabia, a woman has appointed to head the stock exchange, as part of kingdom’s attempt to diversify away from oil.
|1:30 PM GMT||Canada: Wholesale Sales|
|3 PM GMT||EU: Consumer Confidence|
|0:30 AM GMT (+1)||Japan: Nikkei Manufacturing PMI|