Henry Liu
Former FPA Special Consultant
- Messages
- 473
Last week, the global market suffocated with the continued rise in global inflation. UK news spark interest as the MPC Meeting Minutes revealed 3-0-6 vote count which kept interest rates at 0.5% despite inflationary pressures to hike rates. Pleasurable weather and the Royal Wedding helped boost retail sales for the month.
Existing home sales in the U.S. turned out poorer than expected. The overall chain reaction of this is that the job market isn’t receiving any support from the housing market.
The week closed with Canadian CPI and Retail reports. Overall, Canada’s economy in April showed a mix signal as inflationary pressure remained persistent yet poor consumer spending threatened recovery.
Here’s what we want to focus on for this week:
1. Tuesday May 24, 2011- 10:00am- US New Home Sales
Historical Chart and Data
2. Wednesday May 25, 2011- 4:30am- UK revised GDP q/q
Historical Chart and Data
3. Thursday May 26, 2011- 8:30am- US Prelim GDP q/q
Historical Chart and Data
This week, we’ll look to see if the USD will continue gaining strength against a weakening Euro and Yen. Don’t expect the New Home Sales report to be strong as the housing market recovery depends heavily on the employment sector.
To close the week we’ll be looking at UK and US 2nd release of their quarterly GDP reports for Q1 2011. The Revised GDP report for UK should provide minimum volatility as it is expected to be unchanged from the previous GDP release for the same period. The US GDP report, on the other hand, is expected to increase by 0.4% as new data showed faster economic growth in Q1 of 2011. Even thought the Fed isn’t expected to hike interest rates for at least 6 months, recent rise in employment and GDP data should add pressure for a sooner than expected monetary policy change.
Thanks,
Existing home sales in the U.S. turned out poorer than expected. The overall chain reaction of this is that the job market isn’t receiving any support from the housing market.
The week closed with Canadian CPI and Retail reports. Overall, Canada’s economy in April showed a mix signal as inflationary pressure remained persistent yet poor consumer spending threatened recovery.
Here’s what we want to focus on for this week:
1. Tuesday May 24, 2011- 10:00am- US New Home Sales
Historical Chart and Data
2. Wednesday May 25, 2011- 4:30am- UK revised GDP q/q
Historical Chart and Data
3. Thursday May 26, 2011- 8:30am- US Prelim GDP q/q
Historical Chart and Data
This week, we’ll look to see if the USD will continue gaining strength against a weakening Euro and Yen. Don’t expect the New Home Sales report to be strong as the housing market recovery depends heavily on the employment sector.
To close the week we’ll be looking at UK and US 2nd release of their quarterly GDP reports for Q1 2011. The Revised GDP report for UK should provide minimum volatility as it is expected to be unchanged from the previous GDP release for the same period. The US GDP report, on the other hand, is expected to increase by 0.4% as new data showed faster economic growth in Q1 of 2011. Even thought the Fed isn’t expected to hike interest rates for at least 6 months, recent rise in employment and GDP data should add pressure for a sooner than expected monetary policy change.
Thanks,
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