Open: London Session | Forex, Metals, Oil, Agriculture May 27, 2021



The Australian dollar dipped to $0.7732.Fed officials have this week downplayed immediate concerns about inflation prompting a knee-jerk policy response. The result is that companies can be wildly over-or under-represented according to whether they happen to have a high dollar share price.This soon lapses into absurdity. JSW Hydro Energy is the sole dollar bond issuer since late March. Japan and the euro zone, dogged by lowflation for years, are unlikely to succumb to inflation before the U.S. does.


ASPs riseThe average selling prices (ASPs) of solar modules have risen sharply along with other components, including iron, copper, aluminum, and steel. Lenders last year filed bankruptcy cases against businessmen including Reliance Group’s Anil Ambani, Dewan Housing Finance Corp.’s Kapil Wadhawan and Bhushan Power & Steel Ltd.’s Sanjay Singal.


A Hague court ordered the oil producer to slash emissions 45% by 2030, though the firm said it ll appeal.

United States

“The PCE deflator will be even more closely watched,” she added, referring to the personal consumption expenditures index which is the Fed’s preferred inflation gauge. It s also just what the Fed wants to see.Are we right to be calming down about inflation after the shockingly high CPI print earlier this month? The Fed s favored 5-year, 5-year breakeven, which effectively measures expected inflation from 2026 to 2031, spiked to 2.4% earlier this month.
“While the efforts by various Fed speakers appeared to have assuaged market concerns, doubt remains,” said GSFM investment strategist Stephen Miller. The Fed’s preferred core inflation guide is due on Friday. However, the tech-focussed Nasdaq jumped 0.6 per cent.


While the main topic on the agenda is EU-Africa relations, expect the first exchanges to focus on Belarus, following the bloc s decision to hit it with sweeping sanctions. While the Swiss side wants to keep talking, it’s doubtful the EU feels the same way after years of negotiations were thrown in the dustbin. Nikos Chrysoloras and Catherine BosleyWhat s HappeningGymnich Meeting | EU foreign ministers gather in Lisbon for an informal in-person meeting today.