Tag Archives: U.S. PPI

morning-coffee

Just A Minute!

Here’s today’s ‘Just A Minute’ bringing you a 60 second summary of what’s happening in the markets:

Main Trading Events Of The Day: USD PPI m/m @ 12.30 & USD Prelim UoM Consumer Sentiment @ 13.55 GMT

WHAT WE’RE WATCHING TODAY

Markets Await US PPI & Consumer Sentiment Reports

With U.S. PPI data due later today, the government will probably report that wholesale prices rose a mild 0.2% in February to match the increase in January. Wholesale prices reflect the costs that companies pay for raw or semi-finished products and services before they sell them to consumers. The government has revamped the produce price index to include the cost of services, government purchases, exports and construction. The old PPI only included wholesale goods and covered just a small portion of all goods and services produced in the United States. The first PPI compiled under the new formula showed basically no change in inflationary patterns in January. Wholesale prices have risen just 1.2% in the past 12 months.

Consumer sentiment forecasts reveal slight differences. According to a Thomson Reuters report, the consumer sentiment survey for March is forecast to fall slightly to 80.8 from 81.6 in February. Over the past year the survey has ranged from a high of 85.1 in July to a low of 73.2 in October. Another report predicts a rise of 0.4 points to 82.0, based on the fact that weekly consumer confidence indicators improved into March with the Bloomberg Consumer Comfort Index for the week ending March 2 showing its strongest level since the beginning of January. Higher gasoline prices may weigh on sentiment, but equity indices have moved higher since the end of February which likely boosted the consumer outlook at the beginning of the month.

USD PPI m/m @ 12.30 & USD Prelim UoM Consumer Sentiment @ 13.55 GMT

Gold Hits Fresh Six-Month Highs On Ukraine/China Worries

Gold rose to fresh six-month highs on Friday heading for its biggest weekly gain in four weeks, supported by increasing tensions between Russia and the West over Ukraine and worries over an economic slowdown in China. The metal has gained nearly 3 percent this week, marking its sixth straight weekly rise, as investors exited riskier assets such as equities. While money flowing into gold-backed exchange-traded funds has increased, reflecting confidence in the metal’s outlook, physical demand has slowed as higher prices put off buyers, making some cautious about how long the rally can last. Demand in China, the world’s biggest bullion consumer, has fallen with prices on the Shanghai Gold Exchange about $3 an ounce lower than London prices, compared with a premiums of over $20 earlier this year. Physical buying in other Asian regions has also slowed, with some selling to make a profit from rising prices. Gold is getting its biggest support from the crisis in Ukraine. Data on Thursday showed China’s economy slowed markedly in the first two months of the year, with growth in investment, retail sales and factory output all falling to multi-year lows.

Next From Apple: A Pedometer That Never Misses Steps?

With a constant stream of innovative tech releases, it’s always interesting to keep any eye on Apple stocks. So, what’s next on Apple’s agenda? According to reports, the next big release that Apple has up its sleeve is a smart pedometer. Documents released Thursday at the U.S. Patent and Trademark Office show that the company is working on a device to more accurately measure a person’s movement, presumably for a health-monitoring wearable device. Apple is expected to take the iWatch mainstream and expects it to reach the public later in 2014. The patent covers a smart wrist-mounted pedometer that can automatically determine its location on a user’s body and compensate for missed steps using advanced processing algorithms. Analysts are looking for the tech giant whose stock is down slightly from the beginning of the year to introduce new product categories to excite buyers again. Keep an eye on those Apple stocks!

That sums up today’s highlights! Don’t forget to keep up with all the latest market developments via our social media channels! We hope you have a profitable day on the markets and a great weekend - we’re back on Monday!

Not a Banc De Binary trader?

Sign In
just-a-minute-sample-B

Just A Minute!

Here’s today’s ‘Just A Minute’ bringing you a 60 second summary what’s happening in the markets today:

Main Trading Events Of The Day: Several today including USD FOMC Meeting Minutes @ 19.00; USD Building Permits & PPI m/m @ 13.30; GBP Unemployment Rate @ 09.30 GMT

Earnings Reports: N/A

WHAT WE’RE WATCHING TODAY

Dollar Drops To 7-Week Low Per Euro In Advance Of FOMC Meeting

Later today, Wall Street will focus on the minutes from the Federal Reserve’s last big meeting in January where the central bank voted to withdraw more stimulus from the economy. The minutes give investors a better sense of what Fed officials are thinking, though no big surprises are expected. The dollar has fallen to a seven-week low versus the euro in advance of the meeting as investors look for the stance of policy makers on recent economic data. The dollar is being sold especially against the euro according to analysts who remain wary of the downside risks to U.S. data. Investors will be looking for Fed’s view on the economy. The dollar was little changed at $1.3766 per euro at 2:34 p.m. in Tokyo from yesterday, after earlier touching $1.3773, weakest since Jan. 2. The Bloomberg Dollar Spot Index, which tracks the greenback against 10 major peers, was at 1,016.71 from 1,017.34 yesterday, set for the lowest close since Dec 17.

Home Construction Figure Likely To Be Down While PPI Gets A Re-Vamp

The housing market is regarded as one of the pegs supporting stronger U.S. growth in 2014. Figures released later are likely to show that new construction got off to a slow start in January. Economists predict construction on new homes dropped last month to an annual rate of 945,000, seasonally adjusted, from a preliminary 999,000 in December. The harsh weather conditions continue to gets lots of blame, but higher mortgage rates and home prices have also dampened demand. Some analysts also blame high student debt for holding back first-time home buyers. As recently as November, builders had broken ground on new homes at the fastest pace in six years. The rate of construction could pick back up again, however, as the weather warms and if the economy continues to improve.

housing construction

Also today, the U.S. Labor Department will unveil a producer price index that has undergone its first dramatic makeover since 1978. The new PPI will include the wholesale cost of goods, as usual, and add services, construction, government and exports for the very first time. Services such as retail, finance, education and health care now represent a much bigger slice of the economy than goods-producing industries. As a result, the new formula will capture prices changes of three-fourths of all U.S. goods and services produced. The changeover is meant to make the PPI more relevant and act as an early warning signal for when the pace of consumer inflation is about to shift. However, the wholesale price report for January is unlikely to show much difference. The old PPI index found that wholesale inflation rose 1.2% in the one-year period from December 2012 to December 2013. The new PPI shows a 1.1% increase.

Is An iCar On Its Way?

Reports of a meeting between heads at Apple and electric car manufacturer Tesla Motors are sparking excitement in the tech industry and fuelling rumours that a potential ‘iCar’ is on its way. Although Apple is unlikely to be buying Tesla, a collaboration may well be in the pipeline with suggestions being made regarding the inclusion of an entertainment system in the car. A potential collaboration between the two firms could inject a much-needed burst of innovative spark back into the tech giant, which many complain has been lacking in recent times. Talk of Apple entering the auto market is not new. Last month Apple’s ‘iOS in the Car’ software was leaked, unveiling software specifically designed to link the iPhone to a car dashboard, according to media reports. The software would provide hands-free access to navigation, phone functions, messages and music through touch and voice control. The manufacturer’s Model S vehicle already features a large, tablet-like display, which is used to browse the web, and to navigate entertainment and sat-nav facilities, suggesting the potential some form of collaboration. According to reports, one of Apple’s key competitors Google has also been using its Android operating system to develop partnerships with Honda, Hyundai and Vauxhall. Shares in Tesla Motors, surged 3 percent on Tuesday following rumours of the acquisition and ahead of fourth-quarter and 2013 results to be released Wednesday. Meanwhile, Apple stock climbed 1.3 percent to a high of $551 before falling back to $545.99 by the end of the trading day.

Tesla-Model-S-2013

That sums up today’s highlights! We hope you have a profitable day on the markets.

Not a Banc De Binary trader?

Sign In