Weekly Market Commentary
The Iranian crises continues to expand, as Israel responds to Iranian missiles, with attacks on Iranian bases in Syria. The US withdrawal from the Iranian nuclear agreement appears to be the trigger and now threatens the Syrian civil war spreading across the Middle East, becoming a multi-denominational conflict. Oil prices have gained some momentum, with the threat of sanctions being reimposed on Iran, boosting energy companies and stock markets.
The Dollar has been steady, with the EUR trading 1.1940, while the GBP holds above 1.3500. The GBP is again at the lower end of its trading range, after weak economic data releases and a dovish Statement from the Bank of England. The commodity currencies have been hammered, with the NZD trading 0.6950, while the AUD holding above 0.7500. The NZD came under extreme pressure after a reality check from the new RBNZ Governor.
This coming week has important growth data from Germany and Japan, while US Retail Sales are always an important number, to measure the health of the all-important consumer. Geo-Political issues remain front and centre of the coming weeks trade.
Weekly Market Calendar
14/5 NZ Services PMI, NZ Dairy Auction, Australia Credit Card Spending
15/5 Australia Consumer Confidence, RBA Minutes, China Retail Sales/ Industrial Production, German GDP, EU Industrial Production/GDP, Geman/EU ZEW Economic Sentiment, US Retail Sales, NAHB House Market Index
16/5 Japan GDP, Australia Leading Index, Australia Consumer Confidence, Australia Wage Price Index, China New House Prices, German/EU CPI, US Weekly Mortgage Application, US Housing Starts, US Building Permits, US Industrial/Manufacturing Production
17/5 Australia Leading Index, Australia Employment, US Weekly Jobless Claims, Philly Fed Report, US Leading Index
18/5 Japan CPI, EU Current Account, US Trade Exports/Imports
Kind Regards
Paul Bettany
Collinson & Co
0406-744-923