Archive for August 1st, 2017

Deeper Analysis

U.S. and Ezone Factory Purchasing Manager Surveys in July 2017

August 1, 2017

The sharp relative improvement in U.S. manufacturing vis-a-vis Euroland seen in June was reversed partly a month later. The U.S. PMI fell 1.5 points to 56.3, while Euroland’s PMI declined by a lesser 0.8 points to 56.6. The euro continued to appreciate against the dollar in July, suggesting that the PMI will probably move back […] More

Central Bank Watch

No Interest Rate Change from the Reserve Bank of Australia but New Language about the Australian Dollar

August 1, 2017

The latest monthly RBA meeting kept the Official Cash Rate at 1.5%, a record low since a 25-basis point cut a year earlier. A released statement kept the bank’s macroeconomic forecasts largely unchanged, but new language was introduced in the comment on the Australian dollar: The Australian dollar has appreciated recently, partly reflecting a lower […] More

New Overnight Developments Abroad - Daily Update

Ton of Data Depresses Sovereign Debt Yields

August 1, 2017

Released U.S. economic indicators today were lower than forecast. The Institute of Supply Management’s manufacturing purchasing managers index dropped 1.5 points to a 2-month low of 56.3, which still implies pretty solid activity. Construction spending sank 1.3% in June. The main disappointment was delivered by personal income and spending. Income stagnated instead of rising about […] More