Global Macro Perspectives
Baltic dry index rose 0.4% last week; Capesize Index was up 5.1%; Panamax Index fell 0.7%; Supramax Index was down 2.2%; Handysize Index fell 2.0%.
No major changes in both price or inventory of iron ore, steel and coal.
U.S. housing starts in March rose 3.5% to 560.000 vs. revised (18.000 higher) 541.000 April reading. Consensus was at 545.000. On year level U.S. housing starts are down 3.4%.
Initial jobless claims in the U.S. were reported at 414.000 vs. 420.000 consensus and last week revised (up 3.000) reading of 430.000.
U.S. industrial production rose 0.1% in May. Consensus was at 0.2%, April reading was at 0.0%. On year level industrial production is up 5.9%.
Empire State Manufacturing General Business Conditions Index for June came out at -7.8 vs. 12.0 consensus and prior reading of 11.9.
Ugly looking chart.
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U.S. consumer price index rose 0.2% in May vs. 0.1% consensus and April reading of 0.4%. On year level CPI inflation is running at 3.6%.
NFIB Small Business Optimism Index for May was reported at 90.9 vs. consensus of 90.5 and prior reading of 91.2.
U.S. retail sales were reported down 0.2% in May vs. -0.3% consensus. April reading was at 0.3% (revised from 0.5%). On year level retail sales are up 7.8%.
U.S. producer price index rose 0.2% in May vs. 0.1% consensus. April reading was at 0.8%. On year level PPI is up 7.0%.
Industrial production in China rose 13.3% y-o-y in May; April reading was at 13.4%. Consensus was at 13.1%.
China retail sales rose 16.9% y-o-y in May vs. 17.1% April reading. Consensus was at 17.0%.
China Consumer Price Index was up 5.5% in May, vs. 5.2% consensus and 5.3% April reading.
China Producer Price Index was up 6.8% vs. 6.8% consensus and 6.8% April reading.
Strong PPI suggest that the inflation will not come down so fast.
The POBC rose the reserve requirement after the CPI release (to 21%(21.5% for large institutions and 19.5% for small and medium-sized institutions)).
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Baltic dry index fell 4.8% last week; Capesize Index was down 10.5%; Panamax Index rose 7.6%; Supramax Index was down 6.1%; Handysize Index fell 2.1%.
Thermal coal stockpiles unchanged at extremely low levels; Steel stockpiles fell but stocks are high; Iron ore stockpiles at new record high. Prices still strong.