Collinsonfx Weekly Marketing Commentary and Calendar

Weekly Market Commentary

The US/China Phase One Trade Agreement is finally agreed, again. It appears the initial announcement was premature and the negotiations have taken some time to conclude. The conclusion was a boost to US equity markets, which trade around record levels, reflecting the economic boom the US economy is undergoing. The big news overnight was the landslide victory of the British Conservative Party. This confirms Brexit and should open the door for a boom in the UK economy. Uncertainty is the biggest drag on any economy and that has now been removed. The UK will now execute Brexit and begin to negotiate Free Trade Agreements with the US, EU and the Commonwealth. The GBP jumped three big figures on the election result and should now start a new cycle of upward trends.

The trade news and the UK election result both are boons to the Australian and NZ economies. The mouth-watering prospect of a free trade agreements, with the UK, can only be fantastic for their trade and economies. The AUD traded above 0.6850, while the NZD attempts to regain 0.6600. These are promising times for these commodity based Commonwealth countries and may well be the tonic their lacklustre economies need.

 
Weekly Market Calendar

16/12 Australia Services/Manufacturing/Composite PMI, China Industrial Production, China Retail Sales, UK/France/German/EU Services/Manufacturing/Composite PMI, Empire State Manufacturing
 
17/12 US Services/Manufacturing/Composite PMI, NAHB House Market Index, NZ Consumer Confidence, Australia Consumer Confidence, NZ Business Confidence, RBA Minutes, UK Employment, EU Trade Exports/Imports, US Building Permits/Housing Starts
 
18/12 US Industrial/Manufacturing Production, NZ Current Account, Japan Trade Exports/Imports, UK CPI, EU CPI
 
19/12 Bank of Japan Rate Decision, NZ GDP, NZ Trade Exports/Imports, Australia Employment, UK Retail Sales, Bank of England Rate Decision, US Weekly Jobless Claims, US Current Account
 
20/12 US Existing Home Sales, US Leading Index, NZ Consumer Confidence, Japan CPI, NZ Credit Card Spending, EU Current Account, UK GDP, UK Current Account Exports/Imports, US GDP, EU Consumer Confidence, US Personal Income/Spending, University of Michigan Sentiment, Kansas City Fed Manufacturing Activity Report