Sliding US consumer confidence hammers US Treasury bond yields down to their lowest levels since December. Australia’s January CPI today could give clues on more RBA rate cuts. Australian consumer confidence jumps after the RBA’s cut this month.
In our bonus deep dive interview, ANZ’s Senior Commodities Strategist Daniel Hynes looks at the prospects of OPEC going through with stated plans to reverse production cuts made back during Covid in 2020 and 2021.
5 things to know in 5 minutes:
The S&P is down 0.8% and the US 10 year yield is down 15 basis points at 4.30% this morning after weak US consumer confidence data, says ANZ Head of G3 Economics Brian Martin.
Australia’s January CPI figures today could show headline annual inflation fell to 2.1%, but ANZ Senior Economist Adelaide Timbrell says the partial data might under-estimate where inflation actually is.
ANZ Roy Morgan Australian Consumer Confidence rose nearly five points last week to its highest since May 2022 after the RBA’s cut and commentary about moderating inflation, says ANZ Economist Sophia Angala.
The Bank of Korea cut its benchmark rate unanimously by 25 basis points to 2.75% yesterday in a bid to support growth amid political uncertainty, says ANZ Economist Krystal Tan.
Japan’s Services PPI rose 3.1% in January from a year ago. ANZ FX Analyst Felix Ryan says the data adds to inflationary pressure in wages and consumer prices.
Cheers,
Bernard
PS: Catch you tomorrow with analysis of what Australia’s partial January CPI data could mean for the RBA and Australian interest rates.
