Recap 3-04-13


A couple of interesting charts, h/t Business Insider:


  • China Services PMI dropped to 54.5 in Feb vs 56.2 prev
  • China is introducing property tightening measures, including higher down payment and mortgage rates in some cities, and a stricter enforcement of a 20% capital gains tax
  • BoJ Governor Nominee Kuroda said that the bank should do “whatever we can do” and suggested it could increase QE or the range of assets purchased, including long term JGBs. “While Kuroda says the central bank should strive to reach 2 percent inflation in two years, Iwata last week was quoted in Diamond magazine saying it could take up to 5 years.” Iwata: “If the BOJ doesn’t show that monetary policy has changed, there’s a risk that these market moves will unwind," Kuroda: "Simply expanding monetary base won’t be too effective,"
  • UK Construction PMI dropped to 46.8 vs 49 exp and 48.7 prev

Upcoming Data:

  • Mon: AustraliaCurrent Account, China HSBC Services PMI, RBA
  • Tue: Italy / UK / US Services PMI, EU Retail Sales
  • Wed: EU 4Q GDP, US ADP Employment, BoC, Oil Inventories, Australia Trade Balance
  • Thu: BoJ, French Employment, BoE, ECB, US Unit Labor Costs, Jobless Claims, Fed publishes stress test results for US banks
  • Fri: Japan Eco Watchers Survey, China Trade Balance, Canada Housing Starts, Employment, US Employment, Banxico