സെഫിർനെറ്റ് ലോഗോ

Week Ahead – Between a rock and a hard place

തീയതി:

വിലക്കയറ്റം വർദ്ധിച്ചുവരുന്ന ആശങ്കയാണ്

For years central banks have been operating under the assumption that inflation will eventually return to target while having the flexibility to wait until the economy is fully ready for higher rates. That luxury is a thing of the past and many now feel stuck between a rock and a hard place.

Most are hoping that a modest tightening of monetary policy will begin the address the problem and buy them enough time for inflation to show itself to be as transitory as they believe. Some are taking more drastic action with larger rate hikes to quickly bring inflation under control. And then there’s the CBRT.

Next week it’s the ECB’s turn to shed some light on how it will deal with inflation which is running well above target, an unusual problem for the central bank after a decade in which the threat of deflation has been a much greater risk.

വരുമാന സീസൺ keeps investors positive

ECB prepares for the end of PEPP

Lira slides as CBRT loses credibility

രാജ്യം

US

The calm before the November 3rd Fed storm should have investors focus on the advance reading of third-quarter GDP, mega-cap tech earnings, and the final version of President Biden’s economic package.  The economy was dealt a blow from the delta variant but most of the lost growth appears to be pushed back to next year.  On Thursday, analysts expect the economy in the third quarter to slow from 6.7% to 3.0%, which is a reflection of current supply chain issues and not falling demand. 

Risk appetite has remained intact as Wall Street continues to overlook supply chain issues, surging commodity prices, and rising transportation costs, but that could change if inflationary pressures intensify.  The next round of mega-cap tech earnings from Apple, Amazon, Microsoft, and Facebook could change Wall Street’s expectation on how much pricing pressures are persisting. 

Optimism is growing that after some large concessions, Democrats will get Senators Manchin and Sinema on board with President Biden’s economic package.  The US economic outlook next year is still looking bright as pent up demand and more stimulus will spur growth.  

EU 

The ECB meeting next week is the obvious standout event as markets look for clues on how the PEPP program will be replaced when it expires in March and whether it will be tempted to follow other central banks in tightening monetary policy. Headline inflation may be above target but there appears to be a firmer belief than elsewhere that this is temporary and they’ll be back below before long. With that in mind, investors will be keen to know whether other stimulus measures will be introduced in March. They may have to wait until December though when new economic projections will be prepared.

UK

UK businesses and households are facing a squeeze over the next year from higher energy prices, taxes, prices and interest rates as the BoE prepares to raise interest rates to counter high supply-side driven inflation. 

That makes the Chancellors Autumn budget on Wednesday all the more important. While the governments focus in the coming years will have to be on paying for the pandemic, they won’t want to act too fast and turn an already sluggish recovery into something worse. 

റഷ്യ

The ruble rallied strongly after the Bank of Russia raised interest rates by 0.75% on Friday, surpassing expectations of a 0.25% or 0.5% hike. Clearly, unlike their Turkish counterparts, the CBR is taking the threat of inflation serious and is prepared to raise them further as it raised its inflation forecast at the end of the year to 7.4-7.9%, almost double its 4% target.

The announcement saw the dollar fall briefly back below 70 against the ruble for the first time since June last year. Higher rates and soaring energy prices have supported the currency in recent months and with more hikes and a possible winter crisis in the pipeline, it could remain in favour for some time.

The unemployment rate on Friday is the only notable release.

സൌത്ത് ആഫ്രിക്ക

PPI and trade balance releases are the only releases of note next week.

ടർക്കി

The lira fell more than 3% to a record low on Thursday and has continued to slide on Friday after the CBRT cut rates by 2%, at least twice as much as markets expected. The move ends the debate, if there was one, that the central bank is being influenced by President Erdogan, whose long-held views that high-interest rates spur inflation are well known.

The central banks’ credibility under Şahap Kavcıoğlu is ruined and its only hope of avoiding further troubles down the road is inflation falling significantly and very soon. Even then, central bank credibility is important, as is the divide between politics and monetary policy and they are both irreversibly damaged under Kavcıoğlu. The lira could remain under severe pressure for some time.

ചൈന

Evergrande has paid an offshore bond coupon today, one day before the grace period expiry. That has removed the immediate financial contagion threat from Mainland markets and reduced weekend risk. It faces another coupon payment deadline on the 29th though and this story is probably not going away soon.

China has no significant data this coming week, but with the central committee meeting due on the 8th of November, authorities will be doing their utmost to ensure that markets remain “serene” until then.  

PBOC officials have expressed comfort that the Yuan is fairly priced at these levels, so strength may continue. With China needing to source energy stocks “at any cost” a strong Yuan is probably their favoured position.

ഇന്ത്യ

The Indian rupee recovery continues, but the story is more a weak US dollar one than a strong rupee one. A strong US earnings season is causing dollar weakness and this story means the rupee rally may have more life in it. 

India is entering the holiday season over the next two weeks and market volumes are likely to decrease, potentially amplifying short-term moves. No significant data releases this week. 

ഓസ്‌ട്രേലിയയും ന്യൂസിലൻഡും

The Aussie and New Zealand dollars rallied strongly as global risk sentiment improved thanks to a strong US earnings season so far. Melbourne and Sydney’s reopening will also lift sentiment and the huge New Zealand inflation number leaves the RBNZ 0.50% hike trade, pencilled in for next month, in full swing. Going forward both will continue to be buffeted by swinging sentiment shifts in overseas markets. 

Australia has inflation data this Monday and PPI and Retail Sales on Friday. The RBA had to intervene in the 3-year bond market to cap rate hikes as markets locally started pricing in a change in RBA guidance from ultra-dovish. 

New Zealand markets continue ignoring rising delta cases and are myopically focused on pricing in a large RBNZ hike next month. Although the trade is now crowded, kiwi outperformance will continue as long as global risk sentiment remains positive.

ജപ്പാൻ

The Bank of Japan announces its latest policy decision next week on Thursday. However, there is little chance of any change before November’s FOMC and ahead of the Lower House election on October 31st. Electioneering will dominate the headlines in Japan next week, but despite the noise, the Nikkei is following the Nasdaq closely. It would take a huge shift in polling away from the ruling LDP to shift the narrative negatively into domestic markets. 

USD/JPY remains near 114.00 and continues to be a purely US/Japan rate differential play. With rates firming in the US, and Japan low forever, USD/JPY’s path of least resistance continues to be higher. 


പ്രധാന സാമ്പത്തിക സംഭവങ്ങൾ

ഒക്ടോബർ 24 ഞായർ

ഇവന്റുകൾ

By-elections will be held for upper house seats in Japan’s Shizuoka and Yamaguchi prefectures

Bank of England policymaker Mann speaks at the 3rd Bund Summit, China Finance Forum 40 on a panel about “Asset prices, inflation expectation and exit from economic stimulus.”

തിങ്കളാഴ്ച, ഒക്ടോബർ 25

സാമ്പത്തിക ഡാറ്റ/ഇവന്റുകൾ

The ASEAN Business and Investment Summit speakers include US President Biden and Chinese Premier Li Keqiang.

EU energy ministers hold an extraordinary council in Luxembourg to discuss rising energy prices in the bloc.

ജർമ്മനി IFO ബിസിനസ് കാലാവസ്ഥ

Mexico Unemployment

സിംഗപ്പൂർ സി.പി.ഐ.

ജപ്പാൻ മുൻനിര സൂചിക

Switzerland domestic sight deposits

തുർക്കി യഥാർത്ഥ മേഖലയിലെ ആത്മവിശ്വാസം

BOE policymaker Tenreyro speaks at an event hosted by CEPR and the central bank.

ചൊവ്വാഴ്ച, ഒക്ടോബർ 26

സാമ്പത്തിക ഡാറ്റ/ഇവന്റുകൾ

FDA advisory panel meeting may decide on whether children ages 5 to 11 could get a COVID vaccine

Bank of France Governor Villeroy de Galhau speaks at a sustainable finance event in Paris.

Canadian Prime Minister Trudeau may announce the new cabinet

Australia ANZ consumer confidence

China Bloomberg economic survey

ഹോങ്കോംഗ് വ്യാപാരം

PPI: Spain, Sweden, Japan

ദക്ഷിണ കൊറിയയുടെ ജിഡിപി

മെക്സിക്കോ അന്താരാഷ്ട്ര കരുതൽ

Japan bond purchases

സിംഗപ്പൂർ വ്യാവസായിക ഉത്പാദനം

U.S. new home sales, U.S. Conf. Board consumer confidence

ദക്ഷിണാഫ്രിക്കയുടെ മുൻനിര സൂചകം

Finland unemployment

ബുധനാഴ്ച, ഒക്ടോബർ 27

സാമ്പത്തിക ഡാറ്റ/ഇവന്റുകൾ

UK Chancellor of Exchequer Rishi Sunak to unveil the government’s autumn budget including new forecasts from the Office of Budget Responsibility.

US wholesale inventories, U.S. durable goods

Bank of Canada (BOC) rate decision: Expected to keep interest rate steady at 0.25%

New Zealand trade, ANZ business confidence

ഓസ്ട്രേലിയ സി.പി.ഐ

ചൈനയുടെ വ്യവസായ ലാഭം

Germany GfK consumer confidence

Thailand manufacturing production index, capacity utilization

മെക്സിക്കോ വ്യാപാരം

Russia industrial production, CPI (weekly)

ഫ്രാൻസ് PPI

Turkey trade, economic confidence

EIA ക്രൂഡ് ഓയിൽ ഇൻവെന്ററി റിപ്പോർട്ട്

ഒക്ടോബർ 28 വ്യാഴാഴ്ച

സാമ്പത്തിക ഡാറ്റ/ഇവന്റുകൾ

US Q3 Advance GDP Q/Q: 3.0%e v 6.7% prior, initial jobless claims

BOJ rate decision: No change in policy expected, could lower growth forecast for this year and raise 2022 forecast

ജപ്പാൻ റീട്ടെയിൽ വിൽപ്പന

ECB rate decision: No change to policy, possibly setting up December as pivotal meeting for a decision on APP; President Lagarde holds a post-rate decision press conference

യൂറോസോൺ സാമ്പത്തിക ആത്മവിശ്വാസം, ഉപഭോക്തൃ ആത്മവിശ്വാസം

ജർമ്മനി സിപിഐ, തൊഴിലില്ലായ്മ

Australia export and import price indexes

സിംഗപ്പൂരിലെ തൊഴിലില്ലായ്മ

Russia forex and gold reserves

Sweden GDP, retail sales

ദക്ഷിണാഫ്രിക്ക PPI

Apple and Amazon report earnings after the bell

Turkey central bank Governor Kavcioglu discusses inflation 

EU economy and finance ministers meet online to talk about the implementation of the recovery and resilience facility.

ഒക്ടോബർ 29 വെള്ളിയാഴ്ച

സാമ്പത്തിക ഡാറ്റ/ഇവന്റുകൾ

G-20 joint finance and health ministers meet before the weekend leaders’ summit

യുഎസ് ഉപഭോക്തൃ വരുമാനം, മിഷിഗൺ സർവകലാശാല ഉപഭോക്തൃ വികാരം

Eurozone GDP, CPI

UK mortgage approvals, money supply, consumer credit

ജർമ്മനി ജിഡിപി

ചെക്ക് റിപ്പബ്ലിക്ക് ജിഡിപി

Mexico GDP

France GDP, CPI

Italy GDP, CPI

പോളണ്ട് സി.പി.ഐ

റഷ്യയിലെ തൊഴിലില്ലായ്മ

South Africa trade balance, private credit, money supply, budget balance

Japan unemployment, Tokyo CPI, industrial production, housing starts

Australia retail sales, private sector credit, PPI

സിംഗപ്പൂർ പണം വിതരണം

India fiscal deficit, eight infrastructure industries

Hong Kong money supply, budget balance

New Zealand ANC consumer confidence

Thailand trade, BoP, trade, foreign reserves, forward contracts

Russia consumer data

പരമാധികാര റേറ്റിംഗ് അപ്‌ഡേറ്റുകൾ

– Germany (Fitch)

– Czech Republic (S&P)

– Poland (Moody’s)

– Norway (Moody’s) 

– Italy (DBRS)

ഈ ലേഖനം പൊതുവായ വിവര ആവശ്യങ്ങൾക്ക് മാത്രമുള്ളതാണ്. ഇത് നിക്ഷേപ ഉപദേശമോ സെക്യൂരിറ്റികൾ വാങ്ങാനോ വിൽക്കാനോ ഉള്ള പരിഹാരമല്ല. അഭിപ്രായങ്ങളാണ് രചയിതാക്കൾ; OANDA കോർപ്പറേഷന്റെ അല്ലെങ്കിൽ അതിന്റെ ഏതെങ്കിലും അനുബന്ധ സ്ഥാപനങ്ങൾ, അനുബന്ധ സ്ഥാപനങ്ങൾ, ഉദ്യോഗസ്ഥർ അല്ലെങ്കിൽ ഡയറക്ടർമാർ എന്നിവരുടേതല്ല. ലിവറേജ്ഡ് ട്രേഡിംഗ് ഉയർന്ന അപകടസാധ്യതയുള്ളതും എല്ലാവർക്കും അനുയോജ്യമല്ല. നിങ്ങളുടെ നിക്ഷേപിച്ച എല്ലാ ഫണ്ടുകളും നിങ്ങൾക്ക് നഷ്ടപ്പെട്ടേക്കാം.

ക്രെയ്ഗ് എർലം

ലണ്ടൻ ആസ്ഥാനമായി, ക്രെയ്ഗ് എർലം 2015 ൽ മാർക്കറ്റ് അനലിസ്റ്റായി OANDA യിൽ ചേർന്നു. സാമ്പത്തിക മാർക്കറ്റ് അനലിസ്റ്റും കച്ചവടക്കാരനും എന്ന നിലയിൽ നിരവധി വർഷത്തെ പരിചയമുള്ള അദ്ദേഹം സ്ഥൂല സാമ്പത്തിക വ്യാഖ്യാനം നിർമ്മിക്കുമ്പോൾ അടിസ്ഥാനപരവും സാങ്കേതികവുമായ വിശകലനത്തിൽ ശ്രദ്ധ കേന്ദ്രീകരിക്കുന്നു. അദ്ദേഹത്തിന്റെ കാഴ്ചപ്പാടുകൾ ഫിനാൻഷ്യൽ ടൈംസ്, റോയിട്ടേഴ്സ്, ദി ടെലിഗ്രാഫ്, ഇന്റർനാഷണൽ ബിസിനസ് ടൈംസ് എന്നിവയിൽ പ്രസിദ്ധീകരിച്ചിട്ടുണ്ട്, കൂടാതെ അദ്ദേഹം ബിബിസി, ബ്ലൂംബെർഗ് ടിവി, ഫോക്സ് ബിസിനസ്, എസ്കെവൈ ന്യൂസ് എന്നിവയിൽ ഒരു സാധാരണ ഗസ്റ്റ് കമന്റേറ്റർ ആയി പ്രത്യക്ഷപ്പെടുന്നു. ക്രെയ്ഗ് സൊസൈറ്റി ഓഫ് ടെക്നിക്കൽ അനലിസ്റ്റിൽ ഒരു പൂർണ്ണ അംഗത്വം വഹിക്കുകയും ഇന്റർനാഷണൽ ഫെഡറേഷൻ ഓഫ് ടെക്നിക്കൽ അനലിസ്റ്റുകൾ ഒരു സർട്ടിഫൈഡ് ഫിനാൻഷ്യൽ ടെക്നീഷ്യനായി അംഗീകരിക്കുകയും ചെയ്തു.

ക്രെയ്ഗ് എർലം

ക്രെയ്ഗ് എർലം

ക്രെയ്ഗ് എർലമിന്റെ ഏറ്റവും പുതിയ പോസ്റ്റുകൾ (എല്ലാം കാണൂ)

Source: https://www.marketpulse.com/20211022/week-ahead-rock-hard-place/

സ്പോട്ട്_ഐഎംജി

ഏറ്റവും പുതിയ ഇന്റലിജൻസ്

സ്പോട്ട്_ഐഎംജി