Global Macro Perspectives
U.S. consumer price index fell 0.2 percent in May, right at the consensus. April reading was at -0.1%. Consumer price index fell less food & energy came out at consensus of 0.1%. Prior reading was no change for April. Again, no inflation in sight. Chart 1. Consumer Price Index
Crude oil stocks rose 1.7 million barrels for week ending June 11; Gasoline stocks fell 0.6 million barrels; Distillate stocks increased 1.8 million barrels; Propane/propylene stocks rose 2.2 million barrels; Total crude oil and petroleum stocks were 4.4 million barrels higher than the week before. Refinery utilization fell from 89.1% to 87.9%. Implied demand fell […]
U.S. industrial production rose 1.2% in May. The consensus was at 0.9%, April reading at 0.8%. Capacity utilization rose from 73.7% in April to 74.7%; the consensus was at 74.5%. Main contributors to growth were automakers and utilities. Chart 1. U.S. Industrial Production and Capacity Utilization
U.S. producer price index fell 0.3% in May vs. -0.5% consensus and 0.1% fall in April. Food & energy taken out U.S. producer price index rose 0.2% in May. The consensus was at 0.1%, prior reading at 0.2%. Chart 1. U.S. Producer Price Indexes
U.S. housing starts were reported at 593.000 vs. revised 659.00 April reading. The consensus was at 648.000. Building permits in the same period fell 5.9% to 574.000. Bad report. Chart 1. U.S. Housing Starts Chart 2. U.S. Building Permits
MBA mortgage applications rose 17.7% for week ending June 11 on back of a 21.2% refinancing surge, the prior reading was a decrease of 12.2%. Chart 1. MBA Mortgage Applications
HMI came out at 17 vs. 22 in May. It is expected result of first home-buyer tax credit expiration. Nevertheless the U.S. housing is in a downward slope threatening the financial sector. All index components were down. Chart 1. NAHB / Wells Fargo Housing Market Index
Todays Financial Times front page: Spanish banks break ECB loan record. Spanish banks borrowed €85.6bn ($105.7bn) from the ECB last month. This was double the amount lent to them before the collapse of Lehman Brothers in September 2008 and 16.5 per cent of net eurozone loans offered by the central bank. Financial Times article: Turmoil in Spain […]
Another leading indicator falling. ZEW Germany Expectation of Economic Growth for June came out at 28.7 vs. 42 consensus and 45.8 reading for May. Chart 1. ZEW Germany Expectation of Economic Growth
Number of oil drilling rigs rose for 16 rigs for the week ending June 11, 2010; Number of natural gas drilling rigs rose for 7 rigs in the same time frame. On world scale number of drilling rigs rose for 50 rigs in May. Chart 1. Baker Hughes U.S. Rig Count Change Chart 2. Baker Hughes Weekly […]
Important U.S. earnings this week: Monday: La-Z-Boy (LZB), Korn/Ferry International (KFY) Tuesday: CLARCOR (CLC), Best Buy (BBY), Casey’s General Stores (CASY), Stanley (SXE) Wednesday: FedEx (FDX) Thursday: Winnebago Industries (WGO), John Wiley & Sons (JW-A), The J. M. Smucker Company (SJM), Actuant Corporation (ATU), The Kroger (KR), Smithfield Foods (SFD) Friday: – Important U.S. economic […]
Baltic dry index fell 14.5% last week; The hardest hit were Capesizes with 16.3% loss and Panamaxes with 13.3% loss; Supramaxes and Handysizes lost 12.1% and 6.5%. Platou Markets: Chinese iron ore imports fell to 51.9 mt in May from 55.3 mt in April. After being up 11.7% for the first four months of the year, […]
Did not have time to post this on Friday. Consumer sentiment for June came out at 75.5 vs. 74.0 consensus and 73.6 May reading. Markets disregarded bad retail sales report and moved higher on consumer confidence. Highest reading since January 2008. Chart 1. University of Michigan/Reuters Consumer Sentiment
Baltic Dirty Tanker Index rose 1.0%; Baltic Clean Tanker Index rose 1.6%. U.S. gulf / Europe arbitrage showing some signs of life; but overall the demand for wet transport is weak. Chart 1. Baltic Tanker Indexes Relative Performance Chart 2. Baltic Tanker Indexes
Retail sales fell 1.2% in May . The consensus was at 0.2%, April reading was a gain of 0.4%. Autos taken out, the figure was -1.1%; the consensus was at 0.1%; prior reading at 0.4%. Big and clear disappointment and a confirmation of a major economic slowdown coming in the second half of the year. Chart 1. […]