Set your agenda. Asian equities retreat for a fourth day on more concerns over chinas economy. And after strong us retail sales, add doubt that the feds inflation fight is finished. Uk headline inflation set to take a step lower today, but the pressure is on for the bank of england after the hottest wage growth on record. Plus, the Worlds Largest owner of stocks rebounds thanks to investments in big tech. Well break down the numbers from norways 1. 4 trillion Sovereign Wealth Fund. Well, good morning. Welcome to wednesday and its risk off this morning as concerns about inflation and growth weigh on markets, us futures are flat this morning after the s p 500, the nasdaq and the Dow Jones Industrial average all ended just off session lows yesterday. Equities finally showing a bit of worry this off year after year had us retail sales coming in above forecasts, along with home depot earnings for that matter, underscoring consumer resilience and bolstering, therefore, the case for the fed t
The swiss number is beating expectations and also helping fuel risktaking on the equity side. Thes take a look at how euro was trading up 2 10 of a percent against the dollar. This is almost the haven trade of late, but overall it is still the fx short. Short on the euro and a the yen. Lets have a look at how this was number plate in. Suddenly we saw a swiss franc strengthen the euro, a growth rather than a recession, but it is coming off those lows. Where the reaction is shortlived is in commodities. We are at last on track for a gain in oil for the first time in 10 weeks. Yesterday 10 what a phenomenal move, the biggest rally in six years. Wti traded up in the u. S. , and a quick look ahead i know you love gdp data we have the u. K. Will it stick to its preliminary reading . 7 , basically flat. Jonathan the 50 here in london is putting together another day of gain. Lets get over to asia with Juliette Sally standing by in hong kong. What a week for shanghai stocks, finishing on a high
Point 5 , the biggest move in three months, moving above 1300 an ounce, gold trading at the highest level since the u. S. Election. Showing iskorea is showshe crowd psychology as does the elliott wave. That it could move to 1339. 1340 could be that next level according to that chart good not only at the highest level in volatility, but fo spiking again. Up in the Asian Session, and this flight to quality being felt in the treasury market. Tradingeeing treasuries in the Asian Session and very near the low of the year, 2. 1 . Ant 2 really could be with grasp very, very soon. Not to mention Inflation Expectations are low, so will the fed delay rate hikes . That is another factor investors are looking at. Volatility in currency markets very high, shortterm volatility on the korean won spiking again, catching up to those levels we saw earlier in the month when we had President Trump talking about fire and fury against north korea, so currency moves key to watch. We are seeing upside for the
Anna a very warm welcome to bloomberg daybreak europe, our flagship morning show from london. Manus another day, another set of earnings. Anna, the Energy Producer in germany has a miss. Anna yes. First quarter adjusted net income fell by 18 , misting the average analyst estimates. They are reiterating their electricityrecast, generation revenue contributing to the drop, according to the company. That has been one of the questions, how will they be helped by wholesale electricity price recovering from decade lows . This is the biggest power producer in essen. It will be interesting to see whether they are sticking to their all your forecast. Previously they had forecast a 67 increase in profit for this year. They are recovering from a collapsed and electricity prices, but prompted the sale of the grid business last year. A lot of moving parts at rwe. The numbers themselves are a miss. The share price so far, up by 32 . Manus there has been a bit of a recovery in terms of next day price
Anna a warm welcome to bloomberg daybreak europe. I manus cranny. Donald trump with his First Press Conference yesterday, seven days until his inauguration and this is what he managed to interview as the ,arkets, the trump trade because of the lack of detail, we have a great quote from oscar wilde, in matters of grave importance in terms of physical, style not sincerity. Ofhas delivered a lack detail, and thats what the market has latched onto. His Donald Trump Style this is the dollar index. You can saven, but the trump mania trade has faltered. Anna show me the details is the market of the message the message of the market. How much does he cut back on globalization and what kind of fiscal stimulus, more importantly. Was that an unfair expectation . He was dominated by russia and Donald Trumps business interests, as we know. Lets show you where we are on overnight interest. The dollar index reflecting the questioning of the trump trade, more so reflected in the dollar against the yen