SHANGHAI, May 17 (SMM) – This is a roundup of global macroeconomic news last night and what is expected today.
The US dollar rose to the highest since May 3, at 97.88, as better-than-expected US data boosted investors’ risk appetite, even as the US and China remained locked in a trade dispute.
The euro dropped to its lowest level in more than a week against the dollar on concerns about next week’s European parliamentary elections
LME base metals advanced for the most part as lead jumped 0.8%, aluminium gained 0.19%, copper rose 0.07%, zinc went up 0.04%, while tin lost 1.4%, and nickel fell 0.12%. SHFE metals, except for tin, increased across the board as lead expanded 0.65%, copper climbed 0.52%, nickel rose 0.35%, zinc gained 0.33%, and aluminium ended 0.24% higher.
The number of Americans filing applications for unemployment benefits fell more than expected last week, pointing to sustained labour market strength that should underpin the economy as growth slows.
Initial claims for state unemployment benefits dropped 16,000 to a seasonally adjusted 212,000 for the week ended May 11, the Labour Department said on Thursday. This compared with the expected claims of 220,000.
Claims have gyrated sharply over the past month from a low of 193,000 to a high of 230,000, but the ups and downs are quite common around Easter and spring break.
The four-week moving average of initial claims, considered a better measure of labour market trends as it irons out week-to-week volatility, rose 4,750 to 225,000 last week.
US homebuilding rose more than expected in April and activity in the prior month was stronger than initially thought. This suggested that declining mortgage rates were starting to provide some support to the struggling housing market.
Housing starts rose 5.7% to a seasonally adjusted annual rate of 1.235 million units in April, driven by gains in the construction of both single- and multi- family housing units, the Commerce Department said on Thursday. Groundbreaking was also likely boosted by drier weather in the Midwest.
Data for March was revised up to show homebuilding rising to a pace of 1.168 million units, instead of falling to a rate of 1.139 million units as previously reported.
Building permits rose 0.6% to a rate of 1.296 million units in April. Permits for single-family housing, however, fell for a fifth straight month, suggesting a moderation in homebuilding activity in the months ahead.
The eurozone will release its consumer price index (CPI) data for April and the US will release data on the University of Michigan consumer sentiment index for May.