Daily Review – Thursday 20-Oct-2016

Daily Review – Thursday 20-Oct-2016

US – Building Permits

Permits increased to a 1.23M annualized rate, much higher than the projected 1.17M.

The jump in permits is a sign that single-family home building is still growing.

 

US – Housing Starts

Contrary to the rise in building permits, new-home construction starts unexpectedly fell in September.

The market was anticipating a rise to 1.18M from 1.15M in August, but actual numbers showed a 1.05M annualized rate.

 

US – Crude Oil Inventories

Oil stockpiles in the US unexpectedly fell by 5.2M barrels last week while investors were expecting a rise of 2.2M barrels.

Rumours are that there was an outage in an important pipeline that delivers half a million barrels a day to a storage facility in Oklahoma.

Whatever the reason might be, crude went up $1.30, trading at more than $52.

 

Canada – BOC Monetary Policy Report and Press Conference

The Bank of Canada has decided to keep its interest rate at its current level of 0.5%.

It also released a forecast indicating that they foresee weaker growth in export and the real estate sector.

 

UK – Average Earnings Index 3M/Y

The price for labour in the UK grew 2.3% over the period from June to August compared to the same period last year.

 

UK – Claimant Count Change

For September 2016 there were 776,400 people claiming unemployment related benefits, 15,700 less than a year earlier.

 

UK – Unemployment Rate

The UK unemployment rate was 4.9% for June to August 2016, unchanged compared with March to May 2016, but lower than a year earlier (5.4%).

 

Japan – All Industries Activity M/M

The total value of goods and services purchased by all Japanese businesses increased by 0.2% in September compared to previous month.

 

China – GDP Figures

China’s gross domestic product (GDP) expanded at an annualized 6.7% in Q3, following a similar gain in Q2 and in line with market forecasts.

The growth rate was in line with Beijing’s full-year target of a growth between 6.5% and 7%.

 

China – Industrial Production

China’s industrial production grew 6.1% in September from a year earlier, the National Bureau of Statistics reported.

Analysts were expecting a 6.4% growth, 0.1% higher than the 6.3% in August.

 

China – Fixed Asset Investment YTD/Y

Fixed-asset investment, an indicator for long-term spending, increased 8.2% in the January-September period.

 

China – Retail Sales Y/Y

Similar to the fixed-asset investments, China’s retail sales only grew by 0.1% to 10.7% in the January-September period.

 

Upcoming Data Releases

Thursday’s data will see the US unemployment claims as well as he Philly FED manufacturing numbers. Across the Atlantic we will have the UK retail sales and the ECB will hold a press conference.

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