Markets are unsettled this morning, with oil and gold up solidly on geo-political concerns in the Middle East and Eastern Europe. There’s more Fed-speak and ECB-speak about when rates might be cut, and by how much.
In our bonus deep dive interview, ANZ Chief Economist for Southeast Asia and India, Sanjay Mathur sorts through emerging Asia’s Q4 GDP data to find the winners and themes, especially with the boom in advanced chip manufacturing.
5 things to know:
Gold and oil prices are up with markets unsettled by tense situations in the Middle East and Eastern Europe. US stocks were below their highs at 5am Sydney/Melbourne time. The Aussie dollar and Kiwi dollar were up a touch.
US Federal Reserve officials talked cautiously overnight about when rate cuts might happen, and how few there will be, says ANZ Head of G3 Economics Brian Martin.
The European Central Bank seems more confident that inflation is under control. It can look to cut sooner than the Fed, and as early as June, Brian says.
The yuan bounced overnight, having fallen to a four-month low late on Friday. ANZ Head of Asia Research Khoon Goh says markets got ahead of where authorities want the currency to be.
ANZ New Zealand Chief Economist Sharon Zollner says anecdotes from businesses in March suggest a few green shoots in some places, even with the economy reported to be in a technical recession in the second half of last year.
Cheers
Bernard
PS: Catch you tomorrow with a closer preview of Australian inflation data.
