Erik Schafhauser Zürich

Morning Brew July 12 2021

Morning Brew 1 minute to read
Erik Schafhauser

Senior Relationship Manager

Summary:  Back in the Game - Risk aversion forgotten


Good Morning and congratulations to Italy as the European Champion in Football.

Risk Off Sentiment prevailed for a day before markets recovered. The main reasons cited were bargain hunting in shares and the fact that the ECB announced to be changing their policy guidance.

Indexes made up the Thursday losses on Friday an held most of those gains over the weekend, the US30 trades at 34815, the US 500 at 4361, the USNAS at 14813 and the Ger 30 at 15660. EURUSD 1.1870 and GBPUSD 1.3887. Gold and Silver are at 1805 and 26.00. Equities had one of their best day in months.

China cut the cash reserves for banks, releasing around 1 trillion yuan ($154.19 billion) in long-term liquidity. Guangdong province plans to build a common data platform that would include  Hong Kong and Macau, including a  data trading market.

The G20 Finance Minister Meeting concluded with little surprises, the way for the 15% minimum Tax is a bit clearer and they issued a warning that a lack of vaccines in developing countries and new variants are  a risk to the global economy.

This week we are expecting the start of the earning season in earnest with DND, Pepsi, JPMorgan, Goldman Sachs and First republic Bank  tomorrow. On Wednesday Bank of America,, PNC, Citi and Blackrock as well as Delta will follow.

In terms of economic events, the list is short but prominent, the U.S. CPI and China's second-quarter GDP should be the most important. Central Bank comments could be significant at all times.

Local Start Date

Local Time

Country/Region

Indicator Name

Period

Reuters Poll

12 Jul 2021

01:50

Japan

Corp Goods Price MM

Jun

0.6%

12 Jul 2021

01:50

Japan

Corp Goods Price YY

Jun

4.7%

12 Jul 2021

01:50

Japan

Machinery Orders MM

May

2.6%

12 Jul 2021

01:50

Japan

Machinery Orders YY

May

6.3%

12 Jul 2021

08:00

Denmark

CPI YY

Jun

13 Jul 2021

08:00

Germany

HICP Final YY

Jun

2.1%

13 Jul 2021

08:45

France

CPI (EU Norm) Final MM

Jun

0.2%

13 Jul 2021

08:45

France

CPI (EU Norm) Final YY

Jun

1.9%

13 Jul 2021

14:30

United States

CPI MM, SA

Jun

0.5%

13 Jul 2021

China (Mainland)

Exports YY

Jun

23.1%

13 Jul 2021

China (Mainland)

Imports YY

Jun

30.0%

13 Jul 2021

China (Mainland)

Trade Balance USD

Jun

44.20B

14 Jul 2021

04:00

New Zealand

Cash Rate

14 Jul

0.25%

14 Jul 2021

08:00

United Kingdom

CPI YY

Jun

2.2%

14 Jul 2021

09:30

Sweden

CPI MM

Jun

0.1%

14 Jul 2021

09:30

Sweden

CPI YY

Jun

1.3%

14 Jul 2021

13:00

Turkey

CBT Weekly Repo Rate

Jul

19.00%

14 Jul 2021

13:00

Turkey

O/N Lending Rate

Jul

14 Jul 2021

13:00

Turkey

O/N Borrowing Rate

Jul

14 Jul 2021

13:00

Turkey

Late Liquidity Window Rate

Jul

14 Jul 2021

16:00

Canada

BoC Rate Decision

14 Jul

0.25%

15 Jul 2021

03:00

South Korea

Bank of Korea Base Rate

Jul

15 Jul 2021

03:30

Australia

Employment

Jun

30.0k

15 Jul 2021

03:30

Australia

Unemployment Rate

Jun

5.0%

15 Jul 2021

04:00

China (Mainland)

Urban Investment (YTD)YY

Jun

12.1%

15 Jul 2021

04:00

China (Mainland)

Industrial Output YY

Jun

7.8%

15 Jul 2021

04:00

China (Mainland)

Retail Sales YY

Jun

11.0%

15 Jul 2021

04:00

China (Mainland)

GDP YY

Q2

8.1%

15 Jul 2021

08:00

United Kingdom

Claimant Count Unem Chng

Jun

15 Jul 2021

08:00

United Kingdom

ILO Unemployment Rate

May

4.7%

15 Jul 2021

10:00

Italy

CPI (EU Norm) Final MM

Jun

0.2%

15 Jul 2021

10:00

Italy

CPI (EU Norm) Final YY

Jun

1.3%

15 Jul 2021

12:00

Euro Zone

Reserve Assets Total

Jun

15 Jul 2021

14:30

United States

Initial Jobless Clm

10 Jul, w/e

360k

15 Jul 2021

14:30

United States

Philly Fed Business Indx

Jul

28.3

15 Jul 2021

15:15

United States

Industrial Production MM

Jun

0.7%

16 Jul 2021

00:45

New Zealand

CPI QQ

Q2

16 Jul 2021

11:00

Euro Zone

HICP Final MM

Jun

0.3%

16 Jul 2021

11:00

Euro Zone

HICP Final YY

Jun

1.9%

16 Jul 2021

14:15

Canada

House Starts, Annualized

Jun

270.0k

16 Jul 2021

14:30

United States

Retail Sales MM

Jun

16 Jul 2021

16:00

United States

U Mich Sentiment Prelim

Jul

86.5

16 Jul 2021

Japan

JP BOJ Rate Decision

16 Jul

-0.10%

(Refinitiv)


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