News

United Kingdom: Sluggish jobs outlook persists – Deutsche Bank

Deutsche Bank’s Sanjay Raja expects the United Kingdom (UK) labour market to remain weak after a surprise drop in the jobless rate driven by self-employment.

Source  Fxstreet1779103364
IMF Staff: BoE doesn’t need to raise interest rates this year

According to the International Monetary Fund (IMF) staff, the Bank of England (BoE) doesn’t need to raise rates this year, based on the current energy price outlook.

Source  Fxstreet1779102898
Chinese Yuan: Stimulus hopes as PBoC defends 6.8 – TD Securities

TD Securities strategists judge China’s April data as weak, citing higher Oil prices and soft consumer sentiment. They expect targeted fiscal stimulus focused on infrastructure and see the PBoC remaining cautious on easing.

Source  Fxstreet1779102745
10-Year JGB Hits Near 30-Year High, 30-Year JGB Yield Breaks 4%. Will It Deal a Devastating Blow to US Treasuries?

TradingKey - During Asian trading on Monday (May 18), the 10-year Japanese Government Bond (JGB) yield rose to 2.8% at one point, reaching a nearly 29-and-a-half-year high since October 1996. Last Fri

Source  Tradingkey1779101033
Equities: Bond-oil pressure hits sentiment – Deutsche Bank

Deutsche Bank strategists note that the S&P 500 has extended its run to seven consecutive weekly gains, the longest since 2023, even as rising bond yields and Oil prices triggered the worst daily decline since March.

Source  Fxstreet1779097271
China: Cooling demand and stable US ties – Standard Chartered

Standard Chartered strategists note that China’s April data showed weaker domestic demand, with both consumption and investment slowing even as exports supported industrial production.

Source  Fxstreet1779095302
Japan mulls issuing fresh debt to fund extra budget - Reuters

According to a Reuters report, the Japanese government plans to issue fresh debt as part of its funding for a planned extra budget, a scenario that would undermine the Japanese Yen (JPY) and boost yields on Japanese Government Bonds (JGBs).

Source  Fxstreet1779094466
US Dollar: Fed pressure and bond sell-off – ING

ING’s Chris Turner highlights that rising US Treasury yields and a bearish yield curve steepening are pressuring the Federal Reserve (Fed) to sound more hawkish, even without immediate hikes. He notes high Oil prices and higher yields are negative for risk assets but supportive for the Dollar.

Source  Fxstreet1779093494
Japanese Yen struggles despite retreating oil prices

USD/JPY continues its winning streak for the sixth consecutive day, trading around 158.90 during the European hours on Monday.

Source  Fxstreet1779093412
US President Trump: Iran is dying to sign a deal

United States (US) President Donald Trump said in an interview with Fortune, released during the European trading session on Monday, that Iran is dying to sign a deal with Washington. “I can tell you one thing—they’re dying to sign [a deal]," Trump said.

Source  Fxstreet1779093218
Silver: Downside risks build after sharp slide – OCBC

OCBC strategist Christopher Wong notes that Silver dropped around 9% to below US$76/oz, extending a sharper correction than Gold.

Source  Fxstreet1779092228

Italy Trade Balance EU declined to €-1.08B in March from previous €-0.652B

Source  Fxstreet1779091334

Italy Global Trade Balance registered at €4.709B, below expectations (€5.2B) in March

Source  Fxstreet1779091290
BoE’s Greene: Second-round effects of energy price shock won't show up for another year

Bank of England (BoE) Monetary Policy Committee (MPC) member Megan Greene said on Monday, “the second-round effects of energy price shock won't show up for another year.”

Source  Fxstreet1779091012
Iran and Oman held discussions on safe transit through Strait of Hormuz

According to the state media, Iran's foreign ministry spokesperson said during the European trading session on Monday that technical teams from Iran and Oman met last week in Oman to negotiate a mechanism for safe transit in the Strait of Hormuz.

Source  Fxstreet1779090438
ECB: June hike odds shaped by survey prices – Societe Generale

Societe Generale’s team notes that the European Central Bank's (ECB Economic Bulletin stresses that a Middle East-driven Oil shock would hit inflation more than activity, but confidence effects could weigh on 2027 growth.

Source  Fxstreet1779089715
Japan’s Kihara: Watching market moves with very high sense of urgency

Japan Chief Cabinet Secretary Seiji Kihara said during the European trading session on Monday that the administration is watching market moves, including long-term rates, with a very high sense of urgency. However, Kihara denied commenting on potential intervention in forex markets.

Source  Fxstreet1779089440

Turkey Consumer Confidence rose from previous 85.5 to 85.8 in May

Source  Fxstreet1779087629
UK Deputy to PM Lammy: There will be no timetable for departure

United Kingdom (UK) Deputy David Lammy to Prime Minister (PM) Keir Starmer said during the European trading session on Monday that the PM will not set out a timetable for his departure from Downing Street, according to Sky News. "There will be no timetable for departure," Lammy told, adding that he

Source  Fxstreet1779087586
Brent: Supply risks keep prices elevated – ING

ING analysts Warren Patterson and Ewa Manthey say Brent remains supported as the oil market reprices ongoing supply disruptions linked to the US-Iran standoff and tensions in the Persian Gulf.

Source  Fxstreet1779087107
Equities: Broad-based risk-off as bond yields surge – Danske Bank

Danske Research Team reports that global equities fell on Friday and remain weak, with Asian markets and US and European futures softer.

Source  Fxstreet1779086604
Lagarde’s speech: I always worry, that's my job

European Central Bank President Christine Lagarde said at the sidelines of the G7 finance ministers meeting in Paris, "I always worry, that's my job!” when asked if she was worried by a sell-off in global bond markets.

Source  Fxstreet1779086481
BoE's Breeden says political uncertainty is hitting the business environment — FT

Bank of England (BoE) Deputy Governor Sarah Breeden warned that political uncertainty is hitting the business environment and cautioned that the UK central bank should not be "trigger happy" when adjusting interest rates, the Financial Times reported on Monday.

Source  Fxstreet1779079132
China’s NBS: Internal drivers remain strong while economy faces external challenges

According to the China National Bureau of Statistics's (NBS) statistician, the economy is facing external challenges, but internal driving forces remain unchanged and solid.

Source  Fxstreet1779072875
Australian Dollar remains subdued below 0.7150 following China’s data

AUD/USD loses ground for the third consecutive day, trading around 0.7130 during the Asian hours on Monday. The pair depreciates following key economic data from Australia’s close trading partner, China.

Source  Fxstreet1779071571

China Fixed Asset Investment (YTD) (YoY) registered at -1.6%, below expectations (1.6%) in April

Source  Fxstreet1779069768
China’s Retail Sales rise 0.2% in April, Industrial Production up 4.1%

China’s Retail Sales rose 0.2% year-over-year (YoY) in April vs. 2.0% expected and 1.7% in March, the latest data released by the National Bureau of Statistics (NBS) showed Monday.

Source  Fxstreet1779069664

China Retail Sales (YoY) came in at 0.2%, below expectations (2%) in April

Source  Fxstreet1779069601

China Industrial Production (YoY) registered at 4.1%, below expectations (5.9%) in April

Source  Fxstreet1779069600

China House Price Index : -3.5% (April) vs previous -3.4%

Source  Fxstreet1779067836
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