1st May 2013. The Australian dollar has opened this morning fairly flat again.
In overnight action the Chicago PMI data was released and the numbers fell month on month and this combined with other US regional PMI figures further support the slowing in momentum in US manufacturing. In Europe, CPI inflation figures moderated, this implies an overall easing in momentum in the region which should allow the European Central Bank (ECB) more scope to cut rates on Thursday. The euro zone unemployment rate edged higher as the European economy remains trapped in inactivity with little relief in sight. Equities on both sides of the Atlantic were mixed. The S&P 500 rose 0.2% despite unenthusiastic US economic data. The Euro Stoxx 50 declined 0.2%. After an initial jump in prices Gold parred back and ended up unchanged. Base metals declined across the board as concerns on global growth weighed on prices. Copper decreased 1.1% and iron ore markets remained closed due to the Chinese public holiday. In Australia today there is no local data scheduled for release, however we do have RBA Assistant Governor Edey’s speech on our financial system. China manufacturing PMI is planned to be released later this morning, while overnight there is UK manufacturing PMI and US ISM manufacturing scheduled.