Read on the Trading Floor - 01 May 2024
Today’s focus… ACBs vs USD strength
Macro Themes At Play
Theme 1 - Price Pressures and Softer Sentiment in US data (don't say Stagflation)
Theme 2 - Fed Preview
Theme 3 - BoJ leads ACB's vs USD Strength
Further reading and listening of note
Theme 1 - Price Pressures and Softer Sentiment in US data (don't say Stagflation)
#1. Bumper ECI: 1.2% vs exp 1.0% and prior 0.9%. Biggest QoQ jump in a year and outside of the Bloomberg forecast range.
Interesting point from The Gryning Times in today's publication (Wage Gains)..."as Jerome Powell has said in the past, wage gains should equal productivity gains plus inflation (a formula of non-inflationary wage growth)."
Source: Bloomberg via ZeroHedge