FUNDAMENTAL REVIEW 05.09.12

Today attention to statistics from the U.S...

 

The Australian economy continues to experience problems due to China's economic slowdown and the ongoing global crisis. This is indicated by the GDP data, which were worse than expected 0.6% versus 1.3% predicted value. Such negative trends due to the fall in metal prices on world markets, as well as mining activities there the company continued to be under pressure, it will negatively affect the overall economic picture. It is no coincidence that the index of business activity in the services sector of Australia is falling to the level of 42.4 points, which is well below the threshold of 50 points. For these reasons, the Australian dollar has strengthened its downward movement.

 

The worsening economic situation in Australia is an important example of what happens with the economy, which in fact is not affected by the crisis of 2008-09. Tightening of the current challenges in Europe continues to pull the global economy into the abyss. In this regard, the market is still hope that the ECB did not remain on the sidelines, and the Fed will resume stimulate the national economy.

 

Yesterdays weak PPI data from the U.S. ISM for August, which came out worse than expected 49.6 points versus. 50.0 points, give up hope of investors that the Fed will not be left out. In this situation, will also play a significant role the Friday data on employment in the non-agricultural sector of the U.S., which, if not please the markets, may become a one additional argument in favor of QE 3.

The single currency is trying to be corrected before the unclear outcome of ECB meeting on September 6. It is assumed that this meeting did not attend anything from the markets' expectations, especially the details of short-term debt securities repurchase of troubled countries.

 

Today we should pay attention to data on employment in the U.S. private sector, which will be published later.

 

Statistics for today:

Moscow time

11.15 Switzerland Consumer Price Index in August n / a; 0,1% m / m, -0.5% m / m

12.00 Eurozone Final data on the index of business activity in the services sector in August n / a; 47,5; 47,5

12.30 UK PMI services sector in August n / a; 51,5; 51,0

13.00 Eurozone retail sales in July n / a; -0,2% m / m and 0.2% m / m

During the day the UK auction on placement of 30-year government bond n / a; 3,22 / 2,2

During the day, Germany auction on placement of 10-year government bond n / a 1,42 / 1,8

16.30 Revised data on U.S. labor productivity outside agriculture Q2 2012 n / a; 1,8% q / q and 1.6% q / q

16.30 Revised data on U.S. labor costs Q2. 2012 n / a; 1,5% q / q and 1.7% q / q

17.00 Canada Decision of the Bank of Canada Interest Rate n / a; 1,00%; 1,00%

17.00 Statement of Canada Bank of Canada interest rate