Open: New York Session | Forex, Metals, Oil, Agriculture April 30, 2021

A member of the National Guard plays a trumpet during a flag rai


The main outcomes of the Euro-area data releases today: Headline inflation rose to 1.6% in April while the core inflation declined to 0.8%. Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.22 per cent to 90.80. In other large Euro-area economies, the q/q change in the level of GDP was much smaller and in France even slightly positive. In level terms, the Euro-area GDP was 6% lower than the pre-crisis level.
GDP data from Europe this morning showed the euro-area economy slipped into a double-dip recession in the first quarter. Listen to it hereThe Economic SceneA day after the U.S. economy recorded a consumer-led surge in gross domestic product, the euro-area headed in the other direction. The dollar index was up, while spot gold fell.


Lumber s surge continues to amaze, grain prices are going gangbusters, and copper topped $10,000 per metric ton for the first time since 2011 this week. S&P 500 futures pointed to a drop at the open, the 10-year Treasury yield was at 1.649%, oil was close to $64 a barrel and gold was down.


In the first quarter, Eni said its adjusted net profit jumped almost five times to 270 million euros as firmer oil prices offset lower production. The group confirmed its full-year production target of about 1.7 million barrels of oil equivalent a day and said it would be investing around 6 billion euros this year. Also, fuel oil stocks showed a small build of 21,000 mt to 1.53 million mt. Oil prices slipped on concerns of wider lockdowns in India and Brazil to curb the COVID-19 pandemic.
Amid these mixed messages, oil prices have remained above $60/bbl, but traders are increasingly concerned about Indian fuel consumption. Brent crude futures, the global oil benchmark, fell 1.21 per cent to USD 67.73 per barrel. Oil Sands Pipeline Wins Bid to Hide Insurers From Activists Trans Mountain Pipeline LP s effort to keep its insurers names confidential was accepted by regulators. Most of the increase inflation is due to the base effect from the oil price.
Gasoline stocks also rose by 11,000 mt to 1.19 million mt. On the NWE to West Africa (WAF) route, just one vessel is seen making the journey this week according to the most recent data available.

United States

It said it expected second quarter revenue between $980 million and $1.08 billion, lower than Wall Street estimates of $1.06 billion on average. In fact, the Fed has yet again reassured to keep the benchmark federal funds rate near zero to help the economy recoup from the pandemic. However, the situation might soon change, as coronavirus restrictions in the region start to ease and flows to the US slowdown on the back of sufficient supply. However, the Fed in its recently concluded two-day policy meeting remained fairly dismissive about the risks of higher inflation for now.
Needless to say, the Fed had earlier confirmed that there may be a slight bump in inflation this year but it will be short-lived. Distribution of coronavirus vaccines and federal stimulus money have many on Wall Street predicting a rapid return to the pre-pandemic economy. Vaccitech had announced its plans to go public earlier this month and said the ADSs would begin trading on the Nasdaq under the symbol “VACC” on Friday.
He argued in a column this week that the Fed should begin tapering — but won t — and inaction risks fueling inflation and financial instability. But total revenue still fell short of Wall Street estimates of $6.73 billion. Naturally, the Fed s monster bond buying, combined with its new outcome-based approach to inflation, has been the subject of endless debate.


On the other hand, Mr. Ma’s direct, highly public swipes at financial de-risking, one of President Xi Jinping’s key initiatives, probably couldn’t go unanswered in China’s current political environment. China has detained upwards of 1 million ethnic minorities including Muslim Uyghurs in Xinjiang, according to the United Nations, while western countries say China is committing genocide there. If Beijing were willing to deliver a more level playing field in the financial sector, that would be even better.


The European Union will formally warn Apple that its app payment system and marketing rules may violate antitrust regulations as authorities escalate an investigation later today, a source says. EU ETS, too, has cut emissions, even before its historically low prices began their continuing rally after some significant policy reforms. They typically focus on sectors not captured by EU ETS, implying a focus outside the power sector and away from some of the most cost-effective emissions reductions.
In fact, we expect the ECB to scale back the pace of its bond purchases again later this year, as the recovery strengthens.
It will be too early for the ECB to make any firm conclusions on the price outlook, and easy monetary policy will continue. The European Union reached agreement for another 1.8 billion Covid vaccine doses through 2023 from Pfizer Inc. and BioNTech SE. ECB challenges banks climate risk views. Merkel s conservatives suffer climate setback. Japanese Public Asks Vexation as it emerged EU approved export of more than 50 million shots.