MNI China Daily Summary: Wednesday, Sept 11

MNI BRIEF: Cautious Policy Adjustments Eyed - BOJ's Nakagawa

MNI: PBOC Net Injects CNY209.3 Bln via OMO Wednesday

MNI: PBOC Sets Yuan Parity Higher At 7.1182 Weds; +2.35% Y/Y

CHINA PBOC CONDUCTS CNY210 BLN VIA 7-DAY REVERSE REPOS WEDS

CHINA SETS YUAN CENTRAL PARITY AT 7.1182 WEDS VS 7.1136

EZ/UK Bond Supply Calendar: Ireland, Italy, UK Due Thursday

US EIA: CRUDE OIL STOCKS EX SPR +0.83M TO 419.1M SEP 06 WK

MNI: US AUG CPI UNROUNDED M/M 0.187%, CORE 0.281%

AUSTRALIA: Albanese Lines Up Budget for May Election

AUSTRALIA: Albanese Lines Up Budget for May Election

UK: Week Ahead

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Modest Dovish Reaction To PPI Miss For Nearer-Term Fed Meetings

STIR
Homepagemarkets-real-timeBulletMarketsFixed Income BulletsForeign Exchange BulletsFOMC Calendar Market News
  • Declines in nearer-term Fed Funds implied rates after the PPI release have been relatively restrained.
  • Particularly weak trade services at -1.3% M/M (reliant on imputed prices, and following June's 1.4% jump) have taken some of the sting out of miss and with the narrowest measure of core PPI stronger than expected.
  • Nevertheless, a marginal softening of PCE-relevant components and their net downward revisions helps maintain a dovish reaction ahead of CPI tomorrow.
  • Cumulative cuts: 40.5bp Sep (+1bp), 73bp Nov, 105bp Dec (+2bp), 129bp Jan, building out to 188bp June (+4bp).

89 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
  • Declines in nearer-term Fed Funds implied rates after the PPI release have been relatively restrained.
  • Particularly weak trade services at -1.3% M/M (reliant on imputed prices, and following June's 1.4% jump) have taken some of the sting out of miss and with the narrowest measure of core PPI stronger than expected.
  • Nevertheless, a marginal softening of PCE-relevant components and their net downward revisions helps maintain a dovish reaction ahead of CPI tomorrow.
  • Cumulative cuts: 40.5bp Sep (+1bp), 73bp Nov, 105bp Dec (+2bp), 129bp Jan, building out to 188bp June (+4bp).