7 Jan 2015
US data coming in mixed of late - watch for volatility - BTMU
FXStreet (Guatemala) - Derek Halpenny, European Head of Currency Strategy at the Bank of Tokyo Mitsubishi UFJ noted that the data from the US has become a little more mixed of late.
Key Quotes:
“This may well fuel speculation that the drop in crude oil prices will show up in a slowing of US economic growth. We maintain that the overall net impact for the US economy is certainly positive and the boost to real incomes for US consumers will be far more important than the impact of knocked out shale production in key energy-intensive states."
“But how that plays out in the flow of economic data releases is admittedly more uncertain”.
"It is feasible that the data flow becomes more volatile that may mean a period of monetary policy expectations being pared back before we see the clear net benefits of the boost to real incomes from the fall in crude oil prices."
Key Quotes:
“This may well fuel speculation that the drop in crude oil prices will show up in a slowing of US economic growth. We maintain that the overall net impact for the US economy is certainly positive and the boost to real incomes for US consumers will be far more important than the impact of knocked out shale production in key energy-intensive states."
“But how that plays out in the flow of economic data releases is admittedly more uncertain”.
"It is feasible that the data flow becomes more volatile that may mean a period of monetary policy expectations being pared back before we see the clear net benefits of the boost to real incomes from the fall in crude oil prices."