5 in 5 with ANZ
5 in 5 with ANZ
Monday: Oil jumps to 8-week high
0:00
-7:55

Monday: Oil jumps to 8-week high

Brent up nearly US$3/bbl after Houthis hit Russian ship & US GDP beats forecasts; China limits short-selling; South Korea GDP to firm on chip exports; Brian Martin on the euro as a reserve currency

Oil prices rose sharply over the weekend after more drama in the Red Sea and on signs of strong demand for oil from the US economy.

In part two of our bonus deep-dive interview on the euro’s 25th anniversary, ANZ’s Head of G3 Economics Brian Martin looks at whether the euro could ever supplant the US dollar as the global reserve currency.

5 things to know

  1. Brent oil prices rose almost US$3/bbl over the weekend to an 8-week high of US$83.64/bbl after Houthis rocketed a Russian tanker and after strong economic growth data from the United States.

  2. China’s bigger-than-expected monetary stimulus move last week also boosted the oil demand outlook. Officials in Beijing limited short selling of stocks over the weekend. ANZ Group Chief Economist Richard Yetsenga sees China’s growth slowdown as a natural adjustment.

  3. Australian CPI inflation data on Wednesday is expected to end talk of a final RBA rate hike, says Richard.

  4. The FOMC is expected to hold the Fed Funds Rate on Thursday morning. The debate is over when it will cut and just how soft the US landing will be.

  5. South Korean GDP growth is expected to speed up this year from the 1.4% seen in 2023, largely because of improving chip exports, says ANZ Asia Economist Krystal Tan.

Cheers

Bernard

PS: Catch you tomorrow with a full preview of Australia’s CPI figures due on Wednesday.

Share

5 in 5 with ANZ
5 in 5 with ANZ
A daily podcast hosted by Bernard Hickey that gives you the five things you need to know about the global economy and markets in under five minutes. Plus a deep dive into emerging trends and issues featuring ANZ's global team of experts.