Archive for July 1st, 2010

Weak Chinese PMI Data Keeps Risk Appetite in Check

Thursday, July 1st, 2010 at 12:32 pm  
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G10 Advancers and Decliners vs USD
CHF 0.20
JPY 0.08
EUR -0.24
GBP -0.34
Risk sentiment took a further hit during this morning’s Asian trading session as China’s purchasing managers’ index declined to 52.1 (v 53.2 exp) during June, significantly lower than the previous reading of 53.9. The release showed China’s manufacturing growth slowed for a second consecutive month and will no doubt compound on the recent fears regarding the health of the global economic…

Riksbank Begins Tightening Cycle, But Dampens Expectations

Thursday, July 1st, 2010 at 12:32 pm  
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The Riksbank convened today for the first rate decision since April, and in line with forecasts, the central bank raised the repo rate 25bps to 0.50%. In the last statement from the April meeting, some members had argued for keeping the repo rate unchanged at 0.25% for the rest of 2010, but attitudes have thawed as the Swedish data in the interim has largely been very encouraging. Q1 GDP…