Category: Blog

A dim ray of hope was provided by the latest truce on tariffs between the US and China. Details are sketchy and it is anything but clear what punitive measures would remain in effect. The US is pushing China to increase rare earth exports in return for easing US export controls of chips. US inflation…

Economy update The only game in town is the China-US trade talks, which are taking place in London. According to US officials negotiations are going well, meaning that they have not broken down. The focus is on easing US export restrictions on chips in return for China expediting rare earth exports to the US. Even…

Economy Update The US NFP inspired a Wall St rally on Friday which was accelerated by the idea of it leading to an easier FED approach. Trump has said Sino/US talks are ‘advanced’ in front of meet in London today. This overshadows poor inflation readings from China. Deflation continues with PPI registering near 2-year lows,…

Although yesterday’s US initial jobless claims were higher, continuing claims lower, trade deficit collapsed due to previous ‘front loading’ by US importers, with a Xi/Trump phone call too, all was/is overshadowed by Trump/Musk online farce and 15% dive in Tesla stocks that pulled all US bourses lower at the Wall St close. How international markets…

The recent spate of disheartening economic data (factory activity, US service sector contraction, tepid labour market) is being ignored as stocks are stable and bond yields are on the descent. Trade talks between the US and its partners are likely to intensify in the near future. Producer prices registered a year-on-year increase of 0.7% in…

Economy update Today is Liberation Day deadline and the beginning of higher US tariffs on steel and aluminium imports. Eurozone business activity hardly changed in May, chiefly because the service sector shrank for the first time in 8 months. The HCOB Eurozone Composite PMI index fell to 50.2 in May from 50.4 in April. The…

Economy Update APAC opened steady, held initially by a late rally in Wall St due to tech appetite but of late bourses wobble lower even with a better showing in EU Core CPI 2.3% v 2.5% call. Trump is reportedly asking for best tariff offers from countries by Weds, but some trading partners deny receiving…

Economy update Weekend developments have resulted in a flight out of risk assets. The US President has threatened to double tariffs on US steel and aluminium imports starting June 4. Factory activity in the euro zone stabilized in May, its index rose from 49.0 to 49.4, still below the crucial 50 mark. In Asia, the…

Bourses are the scene of uncertainty after appeals court keeps tariffs temporarily in play against CIT ruling. Stories on how Administration will form a new tariff regime if the appeal fails means APAC, Europe and US futures experience mixed progress. US Treasury Secretary commented Sino/US trade talks are a bit stalled. Depending on what you…