Stocks continue to slide
Today's news headlines:
‘Sunak pledges targeted tax cuts for UK business in autumn Budget’. UK Chancellor Rishi Sunak is planning to support businesses in the autumn budget by providing tax cuts in return for investment to boost growth. The Confederation of British Industry has insisted that this support come sooner, with many businesses on the cusp of abandoning planned investments as inflation continues to pressure the bottom line. With corporation tax set to rise in April, investment is expected to fall to the lowest levels in the G7, barring any new relief measures. (Financial Times)
‘Joe Biden bids to boost alliances in Asia and affirm commitment to region’. US President Joe Biden will travel to Seoul and Tokyo this Friday to shore up foreign policy in the region, with the Russia-Ukraine conflict garnering the most attention over the past months. Concerns over Beijing’s assertiveness and the possibility of an invasion of Taiwan have prompted this show of strength which many hope will act as a deterrent. Biden will also aim to steer Japan and South Korea to resolve historical disputes to galvanise foreign relations, which is expected to be a challenge. (Financial Times)
Asian markets tipped lower overnight following a bleak day for US stocks yesterday as inflation begins to feed through to corporate earnings; retailer Target fell 25%. The US Dollar Index is trading flat in early trading, and oil has ticked higher, with Brent Crude above $110 per barrel. European shares are lower this morning.
Australian Unemployment Rate (April): 3.9% (est. 3.9%)
UK CBI Industrial Order Expectations: 11:00AM
European Central Bank Monetary Policy Meeting Accounts: 12:30PM
US Philly Fed Manufacturing Index: 1:30PM
US Unemployment Claims: 1:30PM
US Existing Home Sales: 3:00PM
GBP/USD – 1.2342
GBP/EUR – 1.1792
EUR/USD – 1.0466
USD/CAD – 1.2857
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