PREVIOUS TRADING DAY EVENTS 21 April 2023

Announcements 

According to the U.S. PMI on Friday, business activity climbed significantly. Figures show stronger services and manufacturing that threatens to trigger inflationary pressures.

The upturn in demand has also been accompanied by a rekindling of price pressures, Chris Williamson, the chief business economist at SP Global Market Intelligence, said in a statement. This increase helps explain why core inflation has proven stubbornly elevated at 5.6 and points to a possible upturn or at least some stickiness in consumer price inflation.

The Federal Reserve is expected to raise interest rates again next month despite the economic reports the previous week, showing a slowing U.S. economy. The central bank is still likely to hike by 25 basis points at its May meeting.

Its very, very logical for the Fed to look at this situation as one in which they need to reestablish their credibility in fighting inflation, and in order to reestablish their credibility they have to err on the side of being tougher on inflation even at the expense of the economy, said Jason Pride, chief of investment strategy and research at Glenmede in Philadelphia.

Source

httpswww.reuters.commarketsglobalmarketswrapup1pix20230421

httpswww.bnnbloomberg.causbusinessactivityunexpectedlyjumpsriskingmoreinflation1.1910636

K. Retail Sales volumes are estimated to have fallen by 0.9 in March 2023, according to the Office for National Statistics….