European Market Update: Peripheral debt auctions failed to inspire confidence this time around (Trade the News)
Tuesday, July 20, 2010
European Market Update: Peripheral debt auctions failed to inspire confidence this time around
***Economic Data*** - (GR) Greece May Current Account: +â‚¬250M v -â‚¬3.0B prior - (GE) Germany Jun Producer Prices M/M: 0.6% v 0.2%e; Y/Y: 1.7% v 1.1%e - (SZ) Swiss Jun Trade Balance (CHF): 1.8B v 800M prior; Exports M/M: -6.4 v 1.8% prior; Imports M/M: -9.9% v 13.8% prior - (JP) Japan Jun Convenience Store Sales Y/Y: -1.5% v -3.2% prior - (AS) Austria May Producer Price Index M/M: 0.8% v 0.7% prior; Y/Y: 2.9% v 2.5% prior - (NV) Netherlands May Consumer Spending: 1.2% v 0.4% prior - (NV) Netherlands Jul Consumer Confidence: -14 v -18 prior - (TT) Taiwan Jun Export Orders Y/Y: 22.5% v 21.7%e - (IT) Italy May Industrial Orders M/M: 3.2% v 0.2%e; Y/Y: 26.6% v 19.2%e - (IT) Italy May Industrial Sales M/M: 0.8% v 0.5% prior; Y/Y: 8.9% v 6.4% prior - (HK) Hong Kong Jun Unemployment Rate: 4.6% v 4.6%e - (UK) Jun Public Finances (PSNCR): Â£20.9B v Â£16.0Be; Net Borrowing: Â£14.5B v Â£13.0Be - (UK) Jun Preliminary M4 Money Supply M/M: 0.0% v -0.1%e; Y/Y: 3.0% v 2.9%e - (UK) Jun Major Banks Mortgage Approvals: 48K v 52Ke - (UK) CBI Business Optimism: 10 v 22e Total Order Trends: -16 v -24e - (SP) Spain May Trade Balance: -â‚¬4.2B v -â‚¬5.0B prior
Fixed Income: - (SP) Span Debt Agency sold â‚¬5.97B in 12-month and 18-months Bills (SGLT) - Sold â‚¬1.7B in 18-month bills, avg yield at 2.331% v 2.837% prior; bid to-cover: 2.44x v 3.51x prior - Sold â‚¬4.3B in 12-month bills; avg yield at 2.221% v 2.303% prior; bid-to-cover: 1.95x v 1.5x prior - (GR) Greece Debt Agency sold 81.95B in 13-week Bills v â‚¬1.5Be; avg yield 4.05% v 3.65% prior; Bid-to-cover: 3.85x v 4.60x prior - (US) ECB allotted â‚¬201.3B in its main 7-day refi operation at fixed 1.0% - (IR) Ireland Debt Agency sold â‚¬1.5B in 2016 and 2020 bonds; as expected - Sold â‚¬750M in 4.6% Apr 2016 bond; avg yield 4.496% v 4.521% prior; Bid-to-cover: 3.6x v 3.1x prior - Sold â‚¬750M in 5.0% Oct 2020 bonds; avg yield 5.537% v 4.688% prior; Bid-to-cover: 3.0x v 3.0x prior - (UK) DMO sold Â£3.75B in 4.0% 2016 Gilts; avg yield 2.523% v 3.371% prior; bid-to-cover: 1.38x v 1.70x prior
*** SPEAKERS/FIXED INCOME/FX/COMMODITIES/ERRATUM ** Equities - As of 5:45am ET Euro Stoxx 50 Index -0.9% at 2,610 ; DAX Index -1.1% at 5,944; CAC-40 Index -1.0% at 3,451 and FTSE 100 Index -0.5% at 5,122
Consumer discretionary - Ryanair reports Q1 Net â‚¬93.7M v â‚¬113Me, Rev â‚¬896.8M v â‚¬887Me; Reiterates FY outlook - Hermes reports Q2 Rev â‚¬567M v â‚¬533Me; H1 Rev â‚¬1.1B v â‚¬1.0Be; Raises guidance for FY revenue growth - William Hill provided trading update; 26-week group net revenue +3% y/y; op profit +43% y/y
Energy - Weatherford International reports Q2 $0.11 v $0.07e, R$2.4B v $2.4Be - Renewable Energy Reported Q2 EBITDA NOK455M v NOK415M q/q, Rev NOK2.76B v NOK2.7Be - OMV reported Q2 production 318K BOED v 317K q/q
Healthcare - Actelion reports Q2 Net CHF121.4M v CHF128Me, Rev CHF523.2M v CHF501Me; Reaffirms 2010 revenue outlook. Obtains option for â‚¬10M to acquire Trophos - Novartis received approval in China for Rasilez a direct renin inhibitor for high blood pressure
Telecom - TeliaSonera reports Q2 Net SEK5.2B v SEK5.2Be, Rev SEK27.0B v SEK27.0Be; Revises outlook
Technology - Dialog Semiconductor reports Q2 Net $11.2M v $3.3M y/y, Rev $68.5M v $45.0M y/y. Reaffirmed full year outlook. Industry showing signs of foundry and backend supply constraints which may affect end customer build rate and limit revenue upside and potentially margin levels for 2010. - Barco reported Q2 Net â‚¬4.3M v â‚¬6.0Me, EBIT â‚¬5.8M v â‚¬8.0Me
Industrials - Sandvik reported Q2 Net profit SEK2.1B v SEK1.6Be, Rev SEK20.6B v SEK20.6Be - Alstom reported Q1 Rev â‚¬4.7B v â‚¬4.8Be - Embraer-Empresa Brasileira de Aeronautica Enters into an agreement with Flybe under which Flybe will buy up to 140 planes; potential value of the order is $5B
Financials - IG Group reported prelim FY Adj pretax profit Â£157.6M v Â£125.9M y/y, Rev Â£298.6M v Â£257.1M y/y
- Speakers: - ECB's Nowotny: There is a general stress test scenario and some stress can be added to that; No direct link between stress test results and option of extending ECB liquidity support. - Poland Central Bank Chief Belka: Sees Poland 2011 GDP growth of 3.5% as 'modest' with potential to accelerate - India Central Bank Dep: Any increases in the cash reserve ratio (CRR) will impart difficulties to banks on liquidity - Thai Central Bank Chief: Effects from civil unrest on tourism no longer an issue for the economy; tourism recovered faster than expected - Philippines Central Bank gov Tetangco: No urgency to raise rates
- Currencies: The USD rebounded from earlier weakness seen in the European morning as the peripheral debt auctions from Spain, Greece and Ireland failed to inspire confidence. Dealers noting that ECB gov't bond buying was little changed in the latest week coupled with higher funding costs for the corporate front. EUR/USD tested 1.3028 before probing 1.2930 ahead of the NY morning. Similar price action was seen in other European pairs. GBP/USD back below 1.52 after testing above 1.53
- Geopolitical: - Slovakian Finance Minister Miklos stated that the country will not agree to extend the European safety net beyond three years or make it permanent. - Iceland's Supreme Court made banks liable for foreign currency losses on some retail and corporate loans costing banks as much as $4.3B, which equates to about a third of the country's 2009 economic production. - UK Chancellor Osborne is seeking to simplify the British tax system with the Office of Tax Simplification to encourage more business investment in the country.
In the Papers: - Bundesbank and German regulator BaFin are investigating the activities of the European-Iranian Trade Bank AG, also known as EIH, as it has done more than $1 billion worth of business on behalf of Iranian firms according to an article in the Wall Street Journal. - In the New York Times there was commentary on how banks in Germany and France are the most exposed to the EU debt crisis. Hypo Real Estate has stated that its exposure to government debt from various EU states amount to more than $97 billion. - The Telegraph's international business editor Evans-Pritchard examined the implications for the EU following the breakdown in talks between the IMF and Hungary, citing Danske Bank analyst, that the events in Hungary are a warning of what may happen in the Baltic countries later this year and in other EU countries which have adopted tough austerity measures.
***Looking Ahead *** - 7:45 (US) ICSC Weekly Chain Store Sales - 8:00 (BR) Brazil Jul IBGE CPI IPCA-15 M/M: 0.1%e v 0.2% prior - 8:00 (PD) Poland Jun Core Inflation M/M: 0.2%e v 0.1% prior; Y/Y: 1.5%e v 1.6% prior - 8:30 (US) Jun Housing Starts: 580Ke v 593K prior; Building Permits: 575Ke v 574K prior - 8:55 (US) Weekly Redbook Retail Sales - 9:00 (CA) Bank of Canada Interest Rate Decision: Consensus expectations for interest rates to be raise by 25bps to 0.75% - 9:00 (BE) Belgium Jul Consumer Confidence: No est v -9.0 prior - 10:00 (US) Fed's Tarullo testifies on Financial regulation in Senate - 14:30 (US) Fed's Roseman on coins and currency - 16:30 (US) EIA Weekly energy inventories - 17:00 (US) ABC Consumer Confidence w/e Jul 18th: No est v -44 prior
NY Update ***Economic Data***
July 20th - (GR) Greece May Current Account: No est v -â‚¬3.0B prior - (AR) Argentina Jun Budget Balance: No est v 3.)0B prior - 1:00 (JP) Japan May Final Leading Index: No est v 98.7 prior; Coincident Index: No est v 101.2 prior - 2:00 (GE) Germany Jun Producer Prices M/M: 0.2%e v 0.3% prior; Y/Y: 1.1%e v 0.9% prior - 2:15 (SZ) Swiss Jun Trade Balance (CHF): No est v 820M prior; Exports M/M: No est v 1.1% prior; Imports M/M: No est v 13.2% prior - 3:00 (TH) Thailand Customs Trade Balance: $1.3Be v $2.2B prior; Exports Y/Y: 34.3%e v 42.1% prior; Imports Y/Y: 34.7%e v 55.1% prior - 3:00 (JP) Japan Jun Convenience Store Sales Y/Y: No est v -3.2% prior - 3:10 (AS) Austria May Producer Price Index M/M: No est v 0.8% prior; Y/Y: No est v 2.5% prior - 3:30 (NV) Netherlands May Consumer Spending: No est v 0.2% prior - 3:30 (NV) Netherlands Jul Consumer Confidence: No est v -18 prior - 4:00 (TT) Taiwan Jun Export Orders Y/Y: 21.7%e v 34.0% prior - 4:00 (IT) Italy May Industrial Orders M/M: 0.2%e v 4.7% prior; Y/Y: 19.2%e v 20.6% prior - 4:00 (IT) Italy May Industrial Sales M/M: No est v 0.5% prior; Y/Y: No est v 6.4% prior - 4:30 (HK) Hong Kong Jun Unemployment Rate: 4.6%e v 4.6% prior - 4:30 (UK) Jun Public Finances (PSNCR): Â£16.0Be v Â£12.0B prior; Net Borrowing: Â£13.0Be v Â£16.0B prior - 4:30 (UK) Jun Preliminary M4 Money Supply M/M: -0.1%e v 0.0% prior; Y/Y: 2.9%e v 2.8% prior - 4:30 (UK) Jun Major Banks Mortgage Approvals: 52Ke v 51K prior - 6:00 (UK) CBI Business Optimism: 22e v 24 prior; Total Order Trends: -24e v -23 prior - 7:45 (US) ICSC Weekly Chain Store Sales - 8:00 (BR) Brazil Jul IBGE CPI IPCA-15 M/M: 0.1%e v 0.2% prior - 8:00 (PD) Poland Jun Core Inflation M/M: 0.2%e v 0.1% prior; Y/Y: 1.5%e v 1.6% prior - 8:30 (US) Jun Housing Starts: 580Ke v 593K prior; Building Permits: 575Ke v 574K prior - 8:55 (US) Weekly Redbook Retail Sales - 9:00 (CA) Bank of Canada Interest Rate Decision: Consensus expectations for interest rates to be raise by 25bps to 0.75% - 9:00 (BE) Belgium Jul Consumer Confidence: No est v -9.0 prior - 16:30 (US) EIA Weekly energy inventories - 17:00 (US) ABC Consumer Confidence w/e Jul 18th: No est v -44 prior
Legal disclaimer and risk disclosure
All information provided by Trade The News (a product of Trade The News, Inc. "referred to as TTN hereafter") is for informational purposes only. Information provided is not meant as investment advice nor is it a recommendation to Buy or Sell securities. Although information is taken from sources deemed reliable, no guarantees or assurances can be made to the accuracy of any information provided. 1. Information can be inaccurate and/or incomplete 2. Information can be mistakenly re-released or be delayed, 3. Information may be incorrect, misread, misinterpreted or misunderstood 4. Human error is a business risk you are willing to assume 5. Technology can crash or be interrupted without notice 6. Trading decisions are the responsibility of traders, not those providing additional information. Trade The News is not liable (financial and/or non-financial) for any losses that may arise from any information provided by TTN. Trading securities involves a high degree of risk, and financial losses can and do occur on a regular basis and are part of the risk of trading and investing.
Forex Trading News
Daily Forex Market News Forex news reports can be found on the forex research
headlines page below. Here you will find real-time forex market news reports
provided by respected contributors of currency trading information. Daily forex
market news, weekly forex research and monthly forex news features can be found
Forex News Real-time forex market news reports and features providing
other currency trading information can be accessed by clicking on any of the
headlines below. At the top of the forex blog page you will find the latest
forex trading information. Scroll down the page if you are looking for less
recent currency trading information. Scroll to the bottom of fx blog headlines
and click on the link for past reports on forex. Currency world news reports
from previous years can be found on the left sidebar under "FX Archives."
Actionable trading levels delivered to YOUR charts in real-time.
Tue 19 June 2018 A 12:30 US- House Permits/Starts Wed 20 June 2018 A 14:00 US- Existing Homes Sales A 14:30 US- EIA Crude Thu 21 June 2018 AA 11:00 GB- Bank of England Decision A 12:30 US- Weekly Jobless Fri 22 June 2018 AFlash PMIs
John M. Bland, MBA co-founding Partner, Global-View.com
Global-View Affiliate Program
We are starting an affiliate program to market some of our products.
Send me an email if you would be interested or if you know someone who would like to be an affiliate. Generous commissions payout for those accepted.
Put the word "affiliate" in the email subject line.
Veteran FX Trader, Max McKegg, forecasts all the Major currencies and the Australasians; providing Daily and Medium Term Trading forecasts to subscribers, who include large Banks the world over, as well as individual traders in more than 30 different countries.
looking for your first broker or do you need of a new one? There are
more critical things to consider than you might have thought.
We were trading long before there were online brokers. Global-View
has been directly involved with the industry since its infancy. We've
seen everything and are up-to-data with recent regulatory changes.
The Global-View Forex Forum is the hub for currency trading on the web. Founded in 1996, it was the original forex forum and is still the place where forex traders around the globe come 24/7 looking for currency trading ideas, breaking forex news, fx trading rumors, fx flows and more. This is where you can find a full suite of forex trading tools, including a complete fx database, forex chart points, live currency rates, and live fx charts. In addition, there is a forex brokers directory where you can compare forex brokers. There is also a forex brokers hotline where you can ask for help choosing a forex broker that meets your individual fx trading needs. Interact on the same venue to discuss forex trading.
The forex forum is where traders come to discuss the forex market. It is one of the few places where forex traders of all levels of experience, from novice to professionals, interact on the same venue to discuss forex trading. There is also the GVI Forex, which is a private subscription service where professional and experienced currency traders meet in a private forex forum. it is like a virtual forex trading room. This is open to forex traders of all levels of experience to view but only experienced currency tradingprofessionals can post.
Currency trading charts are updated daily using the forex trading ranges posted in the Global-View forex database. You will also find technical indicators on the fx trading charts, e.g. moving averages for currencies such as the EURUSD. This is another forex trading tool provided by Global-View.com.
The forex database can be used to access high, low, close daily forex ranges for key currency pairs, such as the EURUSD, USDJPY, USDCHF, GBPUSD, USDCAD, AUD, NZD and major crosses, including EURJPY, EURGBP, EURCHF, GBPJPY, GBPCHF and CHFJPY. Data for these currency trading pairs dating back to January 1, 1999 can be downloaded to an Excel spreadsheet.
Forex chart points are in a currency trading table that includes; latest fx tradinghigh-low-close range, Bollinger Bands, Fibonacci retracement levels, daily forex pivot points support and resistance levels, average daily forex range, MACD for the different currency trading pairs. You can look on the forex forum for updates when one of the fx trading tools is updated.
Global-View also offers a full fx trading chart gallery that includes fx pairs, such as the EURUSD, commodities, stocks and bonds. In a fx trading world where markets are integrated, the chart gallery is a valuable trading tool. Look for updates on the Forex Forum when the chart gallery is updated.
Global-View.com also offers a forex blog, where articles of interest for currency trading are posted throughout the day. The forex blog articles come from outside sources, including forex brokers research as well as from the professionals at Global-View.com. This forex blog includes the Daily Forex View, Market Chatter and technical forex blog updates. In additional to its real time forex forum, there are also Member Forums available for more in depth forex trading discussions.
WARNING: FOREIGN EXCHANGE TRADING AND INVESTMENT IN DERIVATIVES
CAN BE VERY SPECULATIVE AND MAY RESULT IN LOSSES AS WELL AS PROFITS. FOREIGN
EXCHANGE AND DERIVATIVES TRADING IS NOT SUITABLE FOR MANY MEMBERS OF THE
PUBLIC AND ONLY RISK CAPITAL SHOULD BE APPLIED. THE WEBSITE DOES NOT TAKE
INTO ACCOUNT SPECIAL INVESTMENT GOALS, THE FINANCIAL SITUATION OR SPECIFIC
REQUIREMENTS OF INDIVIDUAL USERS. YOU SHOULD CAREFULLY CONSIDER YOUR FINANCIAL
SITUATION AND CONSULT YOUR FINANCIAL ADVISORS AS TO THE SUITABILITY TO YOUR
SITUATION PRIOR TO MAKING ANY INVESTMENT OR ENTERING INTO ANY TRANSACTIONS.