USA:
06 Sep :Jobless claims
13 Sep : FOMC rate decision
14 Sep : Industrial production
19 Sep : Housing starts
European Union (EU):
03 Sep : Eurozone PMI Manufacturing
06 Sep : ECB Interest rate decision
12 Sep : Germany’s constitutional court rules on euro bail out fund
14 Sep : Eurozone employment data
18 Sep : Spain to sell treasury bills
Continue reading Global Economic Events & Triggers – Sep2012
The People’s Bank of China (PBOC) has cut the interest rate by 25 bps in a surprise move for the first time in 4 years. Though the rate cut is not large, the timing was a surprise and the action indicates that the Chinese central bank is ready to act to prevent a much feared hard landing of the Chinese economy. The Chinese economy has faced the maximum impact from the ongoing slowdown in demand from the Euro region because the European Union (EU) is China’s single largest customer, and weak demand from EU has led to worries about the knock-on effect to domestic consumption if industrial activity loses steam dramatically. Continue reading China Cuts Interest Rate by 25 bps – First Time in 4 Years
Monday, 02 April 2012: China reported positive news on their industrial production over the past weekend, which should give some positive support for global markets and commodities. The current Crude oil price of $105 is about $30 more than its 5 year futures, which indicates that crude oil prices can come down if favorable political events take place to reduce middle-east geo-political tensions, but the chances of such positive events is slim, so we will have to work with constant upward movement in crude oil prices till some event creates genuine risk to crude oil prices.
As of now, a significant amount of risk capital has moved into crude oil, because global economic growth scenario looks more likely than global recession. Meanwhile, Natural Gas prices have been hitting 8 year lows, and huge price variations from $2 per mmbtu in USA to $8 per mmbtu in India/Asia because it is not mobile like crude oil. Continue reading Crude Oil Prices and Global Economic Recovery