- IMF warn that the world economy will grow at its slowest rate since the GFC, pointing to a slow down in China and the 5th consecutive year that emerging economic growth has declined.
- Canadian manufacturing was the latest sector to decline, following the pattern from US, Europe and UK last night (and fitting in with the warning from IMF). At 53.7 the sector is still expanding but at a slower pace than the 24.1 forecast. Despite the soft data USDCAD printed an 11 day low as Greenback continued to retreat.
- Oil finally made the bullish move we have been anticipating for these past few weeks, with WTI now targeting 50, 54 and 55 as part of a bull flag formation.
- Kiwi Dollar now trades at a 6-week high after GDT (global Dairy Trade) prices expanded another 9.9%. This has been the fourth consecutive expansion which follows on from 16.5% previously.
- China remains on Bank Holiday today and there is no Australian data out.
- Bank of Japan Monetary Policy statement, coincident Index and economic leading index makes up the bulk of Asia data.
NYLON HANDOVER: IMF send further growth warning
There doesn't seem to be a month where IMF don't send this warning, although recent manufacturing data from North America, Europe and Emerging markets do make this a feasible scenario.