Recap 2015-03-02


Interesting Links:


  • The PBOC cut interest rates for the second time in four months amid worries about slowing growth; one-year lending rate will be cut to 5.35% from 5.6% and its one-year deposit rate was lowered to 2.5% from 2.75%. Banks will now be able to offer deposit rates 130% of the max, up from 120% previously.
  • Australia Mfg PMI declined to 45.4 vs 49 prev
  • UK Mfg PMI improved to 54.1 vs 53.3 exp and 53.0 prev
  • Italy Mfg PMI improved to 51.9 vs 50.2 exp and 49.9 prev
  • EU Unemployment declined to 11.2% vs 11.4% exp and prev
  • CPI estimate improved to -0.3% vs -0.4% exp and -0.6% prev
  • US Markit PMI was revised up to 55.1 vs 54.3 exp and prev
  • US ISM declined to 52.9 vs 53.0 exp and 53.5 prev
  • Canada Mfg PMI declined to 48.7 vs 51 prev
  • The Fed’s Fischer suggests it may be time to inject more mystery into the policy-making process as he warns about providing too much guidance. Fischer hints that the Fed may be moving into an era where it will be less explicit in providing guidance.
  • The global deflationary wave is about to break said JPM. Global consumer prices are falling and central banks are easing. However, this deflationary tide looks set to recede if oil prices remain near current levels. Central bank easing should continue, and we have added more rate policy cuts in our forecast. But with 2H15 set to see global inflation rise back to a 2% pace and the Fed normalizing, the global easing cycle should end around midyear.
  • Bond ETFs took in $32 billion globally this year through Feb. 26, according to data from Bloomberg LP, in what has been the strongest start to any year since the funds began in 2002. – WSJ


  • Mon: RBA, AU Building Approvals
  • Tue: Canada GDP, Australia GDP, Japan Services PMI, China HSBC Services PMI
  • Wed: Italy Services PMI, UK Services PMI, US ADP Employment, Markit Services PMI, ISM Non-Mfg, BoC, AU Retail Sales, Trade Balance
  • Thu: BoE, ECB,
  • Fri: EU 4Q GDP, US Employment
  • Mon: ChinaTrade, Japan Eco Watchers Survey, Australia Business Confidence, China CPI,