Breakfast Bites - Mon Jun 12, 2023

Rise and shine everyone and Happy Monday!

We have a busy week… filled with plenty of excitement. We get CPI numbers on Monday Tuesday, PPI numbers on Wednesday, the Fed rate decision on Wednesday, Retail Sales & Industrial Production numbers on Thursday and Michigan Sentiment numbers on Friday. We also have $296B of Treasury issuances this week. And that’s just the US.

Around the world… we have German inflation numbers on Tuesday, Chinese Industrial Production numbers on Wednesday, the ECB rate announcement on Thursday, along with the Bank of Japan’s rate decision late Thursday in the US and early Friday for Asia.

The major earnings today is Oracle after market close.

US Equity Futures are slightly higher with the Nasdaq leading. The US Dollar and Oil have pulled back, Gold and Bitcoin marginally higher. The Yield Curve has inverted further again to -0.86%.

Asia and Australia

• Asian markets mostly higher overnight with Japan a standout and China narrowly mixed. The South Korean Kospi remains muted.

• Several Chinese commercial banks cut interest rates on yuan deposit products Monday, following larger state-owned banks rate cuts last week.

• PBOC Governor Yi Gang suggested Q2 GDP will be "relatively high," mainly owing to a favorable base effect. - We still remain cautious on China

• Stronger El Niño may lower Indian agri production, pressure economy

Europe, Middle East, Africa

• European equity markets higher. Autos and retail the best performers; oil/gas and basic resources lag.

• Swiss National Bank’s fight to tame inflation not yet done

• Hawkish Band of England's MPC member Haskel warned that rates may need to be raised more than once from their current level to bring inflation under control

The Americas

• Reports that Twitter is refusing to pay its Google Cloud bills

• Illumina CEO DeSouza steps down amid Icahn pressure, despite recent board support

• Investors loading up on call options ahead of Wednesday's Fed meeting

• US to start unloading crude from seized Iranian tanker as western scrutiny on Tehran's exports continues

• Port of Seattle, a major ag export facility, facing disruptions from amid labor strife

Calendars

(news taken from Reuters, FT, Bloomberg; Calendar from Benzinga Pro)

Economic

Earnings