Here's my summary of the key news overnight in 90 seconds at 9 am, including some generally good news to end the week.
Fewer Americans than forecast sought unemployment benefits last week, indicating their labour market is improving. And US businesses added jobs at a steady pace in August, according to the ADP survey. We get the important Non-Farm Payroll data tomorrow, which always has the potential to move markets.
Reinforcing the positives, US services PMI rose to its highest level since 2005.
There were no surprises from central banks overnight as the Bank of Japan, ECB and Bank of England all left monetary policy unchanged.
Unlike last month there was no further forward guidance from Bank of England governor Mark Carney, however ECB president Mario Draghi again reiterated that the ECB’s monetary policy stance would remain accommodative for as long as necessary, despite the recent raft of excellent economic data for the region, and his raising of euro growth forecasts.
Bucking the trend the new Reserve Bank of India chief, announced measures to prop up the rupee, pledging to raise shortterm interest rates and introduce capital controls.
The Aussie election will be decided tomorrow and it looks almost certain there will be a change of government. The opposition has been championed by the Murdoch press, but now the big Fairfax papers have also turned on Labor. Even Kevin Rudd's brother has given up on him.
New data out from the Bank of International Settlements shows that our currency is now the tenth most traded currency in the world, up from 13th in 2004. That's only 1% though. The data also clearly shows that the US dollar is making back ground it lost in the GFC; it now accounts for 44% of all currency transactions. The second place euro accounts for just 17% with a sharply falling share. The Chinese currency is zooming up the charts and is now one place better than the Kiwi at 9th.
Gold took another $20 tumble overnight and is now below US$1,370/ounce. And the stronger than expected US economic data pushed up US Treasury yields to nearly 3%.
The NZ dollar is ending the week at 78.8 USc, the Aussie is at 86.5 AUc, and the TWI is at 74.8.
The easiest place to stay up with today's event risk is by following our Economic Calendar here »
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