wasp
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Fed survey finds downshifting in growth rate
Businesses unable to pass along higher costs, Beige Book finds
WASHINGTON (MarketWatch) -- Economic activity continued to move forward in August, but there were signs of a downshift in the rate of growth, according to a Federal Reserve Beige Book survey of current economic conditions released on Wednesday.
Five of the 12 Fed districts reported a "deceleration" in growth in their regions, while the other seven reported continued moderate growth.
The Beige Book report was prepared by the New York Fed and was based on surveys completed before the end of August. It is designed to give Fed officials a better feel for economic conditions in the run-up to their next meeting to set monetary policy on Sept. 20.
The reports of slower growth were clustered in the Northeastern region and in Kansas City. The Dallas Fed also reported slower growth, but only from super-strong to strong.
There was no sign that inflationary pressures are heating up.
Although there were sustained increases in the cost of metals and energy and other raw materials, the report found "most of these increases do not appear to have passed through to finished consumer goods."
There was little change in strong labor markets, with only scattered reports of labor shortages and upward wage pressures.
The report said that consumer spending increased slowly in most regions, held down by sluggish and home improvement goods.
The Fed said most non-auto retailers are satisfied with inventory levels.
The report found that residential real estate markets were uniformly weak across the country.
The factory sector continued to expand across the country, despite "pockets of weakness" related to auto and residential construction.
Drought-like conditions in much of the nation have hampered crop production.
Businesses unable to pass along higher costs, Beige Book finds
WASHINGTON (MarketWatch) -- Economic activity continued to move forward in August, but there were signs of a downshift in the rate of growth, according to a Federal Reserve Beige Book survey of current economic conditions released on Wednesday.
Five of the 12 Fed districts reported a "deceleration" in growth in their regions, while the other seven reported continued moderate growth.
The Beige Book report was prepared by the New York Fed and was based on surveys completed before the end of August. It is designed to give Fed officials a better feel for economic conditions in the run-up to their next meeting to set monetary policy on Sept. 20.
The reports of slower growth were clustered in the Northeastern region and in Kansas City. The Dallas Fed also reported slower growth, but only from super-strong to strong.
There was no sign that inflationary pressures are heating up.
Although there were sustained increases in the cost of metals and energy and other raw materials, the report found "most of these increases do not appear to have passed through to finished consumer goods."
There was little change in strong labor markets, with only scattered reports of labor shortages and upward wage pressures.
The report said that consumer spending increased slowly in most regions, held down by sluggish and home improvement goods.
The Fed said most non-auto retailers are satisfied with inventory levels.
The report found that residential real estate markets were uniformly weak across the country.
The factory sector continued to expand across the country, despite "pockets of weakness" related to auto and residential construction.
Drought-like conditions in much of the nation have hampered crop production.
coolTrader
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I was just looking at bloomberg. And it said "Pound drops the most as Blair looses minister" 
Can someone please tell me why the bloomberg will think pound drops because of that. I have not been following the news so i dont know which minister has left but....
They come up with all sorts don't they!
Can someone please tell me why the bloomberg will think pound drops because of that. I have not been following the news so i dont know which minister has left but....
They come up with all sorts don't they!
wasp
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Fed Beige book awaited
The Federal Reserve will release its Beige Book report on business conditions through the end of August at 2 p.m. Eastern time, Wednesday.
Meanwhile, the Labor Department will revise second-quarter productivity data. Economists expect overall nonfarm productivity to be revised up to a 1.5% annual rate from 1.1%. Some economists expect unit labor costs -- a key inflation gauge -- to be revised higher, although the overall consensus is for costs to remain unrevised at a 4.2% annual rate.
The Institute for Supply Management Institute will release the August non-manufacturing sentiment index at 10 a.m. Economists look for a slight increase to 55.5% from 54.8%.
"We expected the U.S. dollar to drift lower but we also expected negative market positioning to limit its decline," said Mitul Kotecha, head of global foreign-exchange strategy, "We do not expect the currency to break out of its recent ranges over the short-term."
After 17 straight meetings in which it implemented quarter-percentage-point increases in benchmark interest rates, the Fed held interest rates steady at 5.25% on Aug. 8. The Federal Open Market Committee, the Fed's policy-setting panel, next meets Sept. 20.
_______________
This is from the Marketwatch website and no mention of Blair and co.
The Federal Reserve will release its Beige Book report on business conditions through the end of August at 2 p.m. Eastern time, Wednesday.
Meanwhile, the Labor Department will revise second-quarter productivity data. Economists expect overall nonfarm productivity to be revised up to a 1.5% annual rate from 1.1%. Some economists expect unit labor costs -- a key inflation gauge -- to be revised higher, although the overall consensus is for costs to remain unrevised at a 4.2% annual rate.
The Institute for Supply Management Institute will release the August non-manufacturing sentiment index at 10 a.m. Economists look for a slight increase to 55.5% from 54.8%.
"We expected the U.S. dollar to drift lower but we also expected negative market positioning to limit its decline," said Mitul Kotecha, head of global foreign-exchange strategy, "We do not expect the currency to break out of its recent ranges over the short-term."
After 17 straight meetings in which it implemented quarter-percentage-point increases in benchmark interest rates, the Fed held interest rates steady at 5.25% on Aug. 8. The Federal Open Market Committee, the Fed's policy-setting panel, next meets Sept. 20.
_______________
This is from the Marketwatch website and no mention of Blair and co.
coolTrader said:I was just looking at bloomberg. And it said "Pound drops the most as Blair looses minister"
Can someone please tell me why the bloomberg will think pound drops because of that. I have not been following the news so i dont know which minister has left but....
They come up with all sorts don't they!
seven junior ministers have resigned, which will put more pressure on Blair. They probably think this could mean he will have to go before the end of May. The pound does not like this confusion.
breadman
wasp
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Dollar remains higher after Fed's Beige book
NEW YORK (MarketWatch) -- The dollar rose against its major foreign-exchange counterparts Wednesday, after a government report showed accelerating inflation and as traders continued to reduce bets against the U.S. currency.
But the greenback surrendered some gains after a Federal Reserve Beige Book survey of current economic conditions indicated slower economic growth and moderating inflation.
"As expected, the Beige Book is on the dovish side and should serve to highlight the Fed's pause continuing for the foreseeable future," said Brian Dolan, director of research at Forex.com, a division of Gain Capital. "This should see the dollar come under pressure."
In New York trading, the euro was quoted at $1.2806, compared with $1.2818 late Tuesday. The dollar changed hands at 116.58 yen, compared with 115.94 yen.
The British pound traded at $1.8842, compared with $1.8936. The dollar was last at 1.2348 Swiss francs, compared with 1.2335 francs.
The euro fetched 149.32 yen, compared with 148.63 yen. See live foreign exchange rates.
Five of the 12 Fed districts reported a "deceleration" in growth in their regions, while the other seven reported continued moderate growth. The reports of slower growth were clustered in the Northeastern region and in Kansas City.
There was no sign that inflationary pressures are heating up. Although there were sustained increases in the cost of metals and energy and other raw materials, the report found "most of these increases do not appear to have passed through to finished consumer goods.
"The tone [of the survey] is a little less upbeat than in recent reports," said currency strategists at research firm Action Economics. The dollar has been somewhat sensitive to U.S. growth prospects of late, and the Beige Book seems to confirm at least some cooling.
Mixed inflation
Earlier, the dollar gained after revisions to quarterly nonfarm business productivity data showed unit labor costs rose 5% in the past year, the fastest pace since 1990.
The Labor Department said productivity increased an annualized 1.6% in the second quarter, up from 1.1% reported a month ago. Unit labor costs increased 4.9% annualized, revised from 4.2% earlier.
Economists were expecting productivity to be revised up to 1.5% and unit labor costs to be unrevised at 4.2%, according to a survey conducted by MarketWatch.
The greenback showed little reaction after the Institute for Supply Management said nonmanufacturing sectors of the U.S. economy expanded at a faster pace during August.
The ISM nonmanufacturing index rose to 57% from 54.8% in July. Economists were looking the index to only rise to 55.4%. Inflation pressures eased. The price index slipped to 72.4% from 74.8% in the previous month.
After 17 straight meetings in which it implemented quarter-percentage-point increases in benchmark interest rates, the Fed held interest rates steady at 5.25% on Aug. 8. The Federal Open Market Committee, the Fed's policy-setting panel, next meets Sept. 20.
NEW YORK (MarketWatch) -- The dollar rose against its major foreign-exchange counterparts Wednesday, after a government report showed accelerating inflation and as traders continued to reduce bets against the U.S. currency.
But the greenback surrendered some gains after a Federal Reserve Beige Book survey of current economic conditions indicated slower economic growth and moderating inflation.
"As expected, the Beige Book is on the dovish side and should serve to highlight the Fed's pause continuing for the foreseeable future," said Brian Dolan, director of research at Forex.com, a division of Gain Capital. "This should see the dollar come under pressure."
In New York trading, the euro was quoted at $1.2806, compared with $1.2818 late Tuesday. The dollar changed hands at 116.58 yen, compared with 115.94 yen.
The British pound traded at $1.8842, compared with $1.8936. The dollar was last at 1.2348 Swiss francs, compared with 1.2335 francs.
The euro fetched 149.32 yen, compared with 148.63 yen. See live foreign exchange rates.
Five of the 12 Fed districts reported a "deceleration" in growth in their regions, while the other seven reported continued moderate growth. The reports of slower growth were clustered in the Northeastern region and in Kansas City.
There was no sign that inflationary pressures are heating up. Although there were sustained increases in the cost of metals and energy and other raw materials, the report found "most of these increases do not appear to have passed through to finished consumer goods.
"The tone [of the survey] is a little less upbeat than in recent reports," said currency strategists at research firm Action Economics. The dollar has been somewhat sensitive to U.S. growth prospects of late, and the Beige Book seems to confirm at least some cooling.
Mixed inflation
Earlier, the dollar gained after revisions to quarterly nonfarm business productivity data showed unit labor costs rose 5% in the past year, the fastest pace since 1990.
The Labor Department said productivity increased an annualized 1.6% in the second quarter, up from 1.1% reported a month ago. Unit labor costs increased 4.9% annualized, revised from 4.2% earlier.
Economists were expecting productivity to be revised up to 1.5% and unit labor costs to be unrevised at 4.2%, according to a survey conducted by MarketWatch.
The greenback showed little reaction after the Institute for Supply Management said nonmanufacturing sectors of the U.S. economy expanded at a faster pace during August.
The ISM nonmanufacturing index rose to 57% from 54.8% in July. Economists were looking the index to only rise to 55.4%. Inflation pressures eased. The price index slipped to 72.4% from 74.8% in the previous month.
After 17 straight meetings in which it implemented quarter-percentage-point increases in benchmark interest rates, the Fed held interest rates steady at 5.25% on Aug. 8. The Federal Open Market Committee, the Fed's policy-setting panel, next meets Sept. 20.
trendie
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coolTrader said:I was just looking at bloomberg. And it said "Pound drops the most as Blair looses minister"
Can someone please tell me why the bloomberg will think pound drops because of that. I have not been following the news so i dont know which minister has left but....
They come up with all sorts don't they!
they surely do!!
they are, as with all analysts, trying to retrospectively make links from one event to another.
if the pound had risen, they could have said "Pound rises as Blair removes uncertainty as to when he will step-down - May.".
stuff the news.
wasp said:Certainly makes a difference when everyones back from holidays!
In just 2 days we have dropped down to mid month low and we still have the beige book and tomorrow the BoE announcement.
I can't imagine we will have much in the way of surprise but could be good if we do...
Question is which way!
EDIT: PS is that also what I think it may be SMBTNT?
Wasp my dear friend, it is something similar to what you may think it maybe but from a different family, results in similar outcome but prone to volatile mishaps. Look at the last rejection and tell me via pm why it may not be as robust as the what you originally thought it was.
Apologies to everyone else on this board for the furtive nature of this post.
wasp said:
Wasp,
Please do not be hasty in limiting your profits by setting weekly targets. IMO time of the year to fill 'em them coffers. Do not underestimate fx esp cable. You can take months or quarters off once you have experienced the whole trading year.
Good trading.
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martin brown
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cable sure is jumpy this last half hour!
coolTrader
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gm all... Repeat after me I will make 100+ profit today. again..... again.... again.... :cheesy:
Happy trading
Happy trading
martin brown
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martin brown said:
ah, it was halifax Aug house prices news.
+1% m/m, +8% y/y
