Macro Roundup (Mar 19)

SHANGHAI, Mar 19 (SMM) – This is a roundup of global macroeconomic news last night and what is expected today.

Last night

The US dollar changed little against a basket of currencies, sticking close to a two-week low, as caution about the US economy and expectations for an accommodative Federal Reserve kept the greenback subdued.

Market participants expect the central bank to keep its benchmark overnight interest rate unchanged and stick to its pledge of a "patient" approach to monetary policy.

Prime Minister Theresa May’s spokesman said on Monday that Britain’s parliamentary speaker did not forewarn the government about his statement, after it was announced that May could not bring the same Brexit deal back for another vote.

The Commons Speaker, John Bercow, said the government cannot bring the vote back to parliament again unless there has been a substantial change to the Brexit deal.

Base metals closed mixed as LME aluminium jumped 1.5%, nickel gained 0.58%, tin grew 0.35%, copper nudged up, while lead fell 1.38%, and zinc declined 0.34%. SHFE aluminium increased 0.51%, nickel went up 0.46%, while lead slid 0.82%, zinc decreased 0.51%, and copper and tin inched down. 

The European Union’s trade surplus with the US and its deficit with China both increased in January, serving as potential fuel for trade conflicts between the world’s largest economies.

The EU surplus in goods trade with the US expanded to 11.5 billion euros ($13.0 billion) in January, from 10.1 billion in January 2018, EU statistics office Eurostat said on Monday. 

With China, the EU deficit also increased to 21.4 billion euros, from 20.8 billion euros a year earlier.

Day ahead

Economic data slated for release today include the eurozone and Germany’s ZEW economic sentiment index for March, the US durable goods orders for January, and its weekly crude inventories by the American Petroleum Institute (API).