Morning Brief: Fed’s Funding Program To Reverse Impact of QT; China Home Prices Rose At Fastest Pace Since Mid-2021; Credit Suisse Secures $54B Lifeline; Focus on ECB Meeting
Americas
Markets
$CS | Credit Suisse Exposure To Large US Banks Seen As Manageable – RTRShttps://t.co/rFsc8J05yr
— LiveSquawk (@LiveSquawk) March 15, 2023
US Treasury Reviewing US Banks’ Exposure to Credit Suisse https://t.co/q3ag6n26w7
— Robert Marchini (@rhcm123) March 15, 2023
Bond volatility just surged to the highest level since the global financial crisis. pic.twitter.com/1ZzaShgyPa
— Otavio (Tavi) Costa (@TaviCosta) March 15, 2023
Economic Indicators and Prospects
US retail sales fell in February after a surge in the prior month, suggesting consumer spending — while holding up — remains challenged by high inflation https://t.co/mQppCLeR4c
— Bloomberg Markets (@markets) March 15, 2023
Retail Sales Decreased 0.4% in February https://t.co/GZynASEvs0 Sales in February were slightly below expectations, however, sales in December and January were revised up. pic.twitter.com/mBetGcuAnt
— Bill McBride (@calculatedrisk) March 15, 2023
NEW: US producer prices unexpectedly declined in February, pointing to an easing of cost pressures in corners of an economy still battling the highest inflation in a generation https://t.co/eJnTDhwDcQ
— Bloomberg (@business) March 15, 2023
🇺🇸 *US MARCH EMPIRE STATE FACTORY INDEX FALLS TO -24.6, EST. -7.9 – BBG
— Christophe Barraud🛢🐳 (@C_Barraud) March 15, 2023
*The survey showed declines in the measures of prices paid and received by the state’s manufacturers, indicating that while inflationary pressures are stubborn, they are easing somewhat.
Housing
Current State of the Housing Market; Overview for mid-March
— Bill McBride (@calculatedrisk) March 15, 2023
Purchasing Same House, Monthly Payments Up 44% Year-over-year https://t.co/LG5APGQla9 pic.twitter.com/4IJCngcLi6
NAHB: Builder Confidence Increased in March https://t.co/8Vu6DCaTqe pic.twitter.com/teYDWXjlGl
— Bill McBride (@calculatedrisk) March 15, 2023
MBA: Mortgage Purchase Applications Increased in Weekly Survey https://t.co/tdDhhtWywJ pic.twitter.com/0P2JSVSTvN
— Bill McBride (@calculatedrisk) March 15, 2023
Monetary Policy
🇺🇸 ‘QE in Another Name’: New Bank Backstop Points to the End of #Fed QT – Bloomberghttps://t.co/jWGM9Dcrop pic.twitter.com/K9ZyM7FMah
— Christophe Barraud🛢🐳 (@C_Barraud) March 16, 2023
🇺🇸 #Fed Traders Price In 100 Basis Points of Rate Cuts From May Peak – Bloomberghttps://t.co/ezUQFcdwXK pic.twitter.com/mjTM3OqWf1
— Christophe Barraud🛢🐳 (@C_Barraud) March 15, 2023
Trade, Supply Chain and Geopolitics
TikTok says US threatens ban if Chinese owners don't sell stakes https://t.co/UascGeNRh5 pic.twitter.com/KRiaULoxt0
— Reuters (@Reuters) March 16, 2023
Asia
Markets
Immunity from external volatility is benefiting Chinese lenders as investors rush to safety amid a spiraling global banking crisis https://t.co/RQdnjQWPRH
— Bloomberg Asia (@BloombergAsia) March 16, 2023
Economic Indicators and Prospects
Japan exports up for 2 straight yrs but global headwinds point to soft outlook https://t.co/cUPXmsDehF pic.twitter.com/rklTnmB0iF
— Reuters (@Reuters) March 16, 2023
🔵 AUSTRALIA EMPLOYMENT REBOUNDS IN FEB, JOBLESS DROPS TO 3.5%
— PiQ (@PriapusIQ) March 16, 2023
– Full story via Reuters at https://t.co/871o1RVYhp pic.twitter.com/p6UBxRf7S5
New Zealand’s Rising Recession Risk Suggests Tightening May Slow https://t.co/4yM4DCFCB8
— YU HAO YU (@cestleiden) March 16, 2023
Housing
🇨🇳 #China Feb new home prices rise at fastest pace since July 2021 – Reutershttps://t.co/ErGASJ7ejg
— Christophe Barraud🛢🐳 (@C_Barraud) March 16, 2023
China property bulls are looking past what’s likely another disastrous earnings season for developers and betting on a recovery https://t.co/P8QXXLhnhf
— Bloomberg (@business) March 15, 2023
Monetary Policy
China’s banking regulator is under pressure to minimize the impact of the sudden suspension of commonly used bond price feeds, which shocked investors in the $21 trillion market https://t.co/qLPQu8zPZJ
— Bloomberg (@business) March 16, 2023
Companies such as Japan Airlines are choosing bank loans over bonds for longer-term funding needs as investors bracing for an end to the era of ultracheap money drive up yields. https://t.co/onIcPBgT66
— The Japan Times (@japantimes) March 16, 2023
Trade, Supply Chain and Geopolitics
🔵 TAIWAN WARNS HONDURAS AGAINST 'POISON' OF AID FROM CHINA
— PiQ (@PriapusIQ) March 16, 2023
– Full story via Reuters at https://t.co/GhFmSqCLGU pic.twitter.com/1HNU7RWtuH
North Korea launches ICBM ahead of South Korea-Japan summit https://t.co/CjyLnSypDF pic.twitter.com/NhwV5spnwb
— Reuters (@Reuters) March 16, 2023
Europe
Markets
European markets set to rally after Swiss central bank steps in to help Credit Suisse https://t.co/iHXUTOA4tS
— CNBC (@CNBC) March 16, 2023
🇨🇭 The Swiss National Bank and the country’s regulator said Credit Suisse meets the capital and liquidity requirements imposed on systemically important banks, and that the #SNB will provide the bank with liquidity if necessary.https://t.co/CC4Puqjal9
— Christophe Barraud🛢🐳 (@C_Barraud) March 15, 2023
🇨🇭 Credit Suisse secures $54 bln lifeline as authorities rush to prevent global bank crisis – Reutershttps://t.co/8w93QJt5Ks
— Christophe Barraud🛢🐳 (@C_Barraud) March 16, 2023
🇪🇺 #ECB Officials Contacted Lenders to Ask About Credit Suisse Exposures, Sources Say – WSJ
— Christophe Barraud🛢🐳 (@C_Barraud) March 15, 2023
Economic Indicators and Prospects
Norwegian GDP (M/M) Jan: 0.4% (prevR 0.3%)
— LiveSquawk (@LiveSquawk) March 16, 2023
– Mainland GDP (M/M) Jan: 0.4% (exp -0.2%; prevR 0.3%)
Housing
UK house prices to fall 10% from their peak, OBR says https://t.co/QGloHe7POd via @AlexJFMorales pic.twitter.com/jOXK2BXkgk
— Zoe Schneeweiss (@ZSchneeweiss) March 15, 2023
Monetary Policy
It's ECB rate decision day — here's what to expect https://t.co/chtDR8fdbV
— Bloomberg (@business) March 16, 2023
ECB faces rate dilemma on anxious eve of hike touted for months https://t.co/Vnk5t23oYS via @CraigStirling pic.twitter.com/I7MUrFHDfa
— Zoe Schneeweiss (@ZSchneeweiss) March 15, 2023
Lorenzo Bini Smaghi, a former European Central Bank policymaker, said the bank should either delay or pare back this week’s planned interest-rate increase. https://t.co/F1Yj24UHdI
— Financial Review (@FinancialReview) March 16, 2023
🇪🇺 *FORMER #ECB VICE PRESIDENT CONSTANCIO COMMENTS IN TWEET – BBG
— Christophe Barraud🛢🐳 (@C_Barraud) March 15, 2023
*ECB SHOULD HIKE BY 25BPS AT MOST THIS WEEK, CONSTANCIO SAYShttps://t.co/gPF1uPj5U4
🇪🇺 *TRADERS SEE 50% CHANCE OF A HALF-POINT #ECB HIKE LATER THURSDAY – BBG
— Christophe Barraud🛢🐳 (@C_Barraud) March 16, 2023
Fiscal Policy
UK unveils bigger-than-expected £241 billion bond-sale plan https://t.co/Mr4C7Ww1UL via @LibbyCherry98 @alicegledhill1 pic.twitter.com/s22x0rbwyD
— Zoe Schneeweiss (@ZSchneeweiss) March 15, 2023
Politics
UK Tories hail Hunt’s budget offer but some fear spin unraveling https://t.co/yzimUUZiPl…https://t.co/LSqAWPN3V1 via @alexwickham @kitty_donaldson pic.twitter.com/senlgrGVKc
— Zoe Schneeweiss (@ZSchneeweiss) March 15, 2023
French pension reform heads for final parliamentary votes on Thursday https://t.co/GC6GHaSZ7x pic.twitter.com/Jtv8h4o9yT
— Reuters (@Reuters) March 16, 2023
Trade, Supply Chain and Geopolitics
Exclusive: Britain and Japan are set to dominate a three-nation project with Italy to build an advanced jet fighter, with Rome set to pay around only a fifth of the overall development cost, two sources said https://t.co/HZupSEx2QL
— Reuters (@Reuters) March 15, 2023
Other Areas And Global Economy
⚠ #WeekAhead: Week 11 (2023) ⚠
— Christophe Barraud🛢🐳 (@C_Barraud) March 13, 2023
🇪🇺 #ECB Meeting
🇺🇸 🌎 #SVB Fallout
🇺🇸 U.S. CPI
🇬🇧 UK Budget
🇨🇳 Chinese Data
🌎 #OECD Outlook
…https://t.co/wjVpO2uKyU