SHANGHAI, Mar 6 (SMM) – This is a roundup of global macroeconomic news last night and what is expected today.
Last night
The US dollar increased to a two-week high against a basket of currencies as unexpectedly strong data on US services industries and new home sales allayed some worries about the US economy.
The yield on 10-year Treasuries remained steady as Federal Reserve Bank of Boston President Eric Rosengren said it may take policymakers "several meetings" to determine whether risks to the US economy will clear up or more seriously hamper growth in 2019.
Chinese shares climbed on Tuesday March 5 after the government vowed to cut taxes and expand infrastructure investment to support the economy.
Base metals ended mix as LME nickel jumped 2.79%, zinc and copper increased over 1%, tin increased 0.54%, while lead and aluminium edged down. SHFE nickel went up 1.46%, zinc climbed 0.57%, aluminium inched up, while copper fell 0.32%, and tin and lead closed slightly lower.
China's service sector grew at the slowest pace in February, according to a private indicator on Tuesday. This was consistent with an official gauge that pointed to growing headwinds faced by service providers.
The Caixin China services purchasing managers' index (PMI) declined to 51.1 in February from January's 53.6. A reading above 50 indicates an expansion in activity from the previous month while a level below that points to a contraction.
Growth in new orders fell to the weakest since October, while export sales also rose at the slowest in five months, reflecting softer demand both at home and overseas.
Eurozone retail sales rebounded in January, adding to recent signs that the currency area's economy may be levelling out after a sharp slowdown in 2018.
The European Union’s statistics office Eurostat said that retail sales in the 19 countries sharing the euro rose 1.3% month on month in January after a 1.4% drop in December.
They were 2.2% higher than in January 2018, accelerating from a 0.3% year-on-year increase in December.
Day ahead
China will release data on its foreign exchange reserve for February, and the US will release its ADP payroll data of last month, its trade account for December, and the weekly crude inventories by the energy information administration (EIA).
