In Hong Kong Hang Seng Index fall below 18,000 while China based banks did not fall at all. If there is a further strong downward adjustment going ahead next week (because that is the future expiry date), I think the last to fall will be China based banks, and after that, the index will recapture its rising momentum.
No matter what, i think this downward adjustment will end at around july 10-15 because that's the time US corp start publishing their 2q09 results and I expect them to be better than 1q.
Consumer market
- US May CPI up +0.1% from 0% in Apr, worse than expect +0.3%
- US May PPI down to +0.2% from +0.3% in Apr, worse +0.6%
- US May capacity utilization down to 68.3% from 69% in Apr, inline 68.4%
- US may leading indicators up 1.2% from 1.0% in Apr, better 1.0%
- US May housing starts up to 532k from 454k in Apr, better 485k
- US May building premits up to 518k from 494k in Apr, better 508k
Job market
- US 06/13 initial jobless claim up to 608k from 605k, inline 604k
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