Thread: Forex News from InstaForex

China Inflation Slows; PPI On The Decline For 43 Months





China's inflation eased in September, reflecting a slowdown in food inflation, and producer prices extended its downward trend, adding to fears of deflationary pressure amid moderation in economic growth. Consumer price inflation slowed to 1.6 percent in September from a 12-month high of 2 percent seen in August. It was forecast to fall to 1.8 percent. Food inflation eased notably to 2.7 percent from 3.7 percent, while non-food inflation slowed only marginally to 1 percent from 1.1 percent. Month-on-month, consumer prices gained 0.1 percent, slower than the 0.5 percent increase seen in August. Another report from NBS showed that producer prices fell at the weakest rate since late 2009, posting the 43rd consecutive month of decline. Producer prices dropped 5.9 percent annually in September, the same rate of decline as seen in August and matched expectations. On a monthly basis, prices fell 0.4 percent. Julian Evans-Pritchard at Capital Economics expects the fall in consumer price inflation to be temporary. As the sharp falls in the price of oil and other commodities late last year begin to drop out of the base for comparison over the coming months, both consumer and producer prices are likely to pick up markedly, easing concerns over deflation, the economist said. The People's Bank of China cut its interest rates five times since last November and reduced reserve ratio to support lending. Inflation has remained between 0.8 percent and 2 percent this year. The government aims to achieve around 3 percent inflation this year.


News are provided byInstaForex.

Yen Falls Against Majors





The Japanese yen weakened against the other major currencies in the Asian session on Thursday. The yen fell to a 1-1/2-month low of 125.49 against the Swiss franc, a 3-day low of 136.73 against the euro and a 2-day low of 184.35 against the pound, from yesterday's closing quotes of 125.04, 136.33 and 183.85, respectively. Against the U.S. dollar, the yen edged down to 119.16 from yesterday's closing value of 118.82. If the yen extends its downtrend, it is likely to find support around 129.00 against the franc, 138.00 against the euro, 188.00 against the pound and 121.00 against the greenback


News are provided byInstaForex.

US stocks rebound on earnings report





US shares rallied following it recorded two days of losses Thursday, bolstered by the third quarter earnings report of the financial sector. The S&P's financial sector ended up 2.3% for its best trading day in over a month. Citigroup rose 4.4% following it surpassed projections. A Reuters data showed 67% of the companies that reported earnings so far have outmatched analyst estimates. The Dow Jones Industrial Average settled at 17,141.75, up 1.28%, the Nasdaq Composite ended at 4,870.10, up 1.82%, and the S&P 500 closed at 2,023.86, up 1.49%. The surge of stocks was merely a bounce back, as none of the fundamentals have become “decisive enough to take you away from the technical battle that's going on,” said Jim Paulsen, Chief Investment Officer at Wells Capital Management.


News are provided byInstaForex.

Malaysian Ringgit Slides To 2-day Low Against U.S. Dollar





The Malaysian ringgit weakened against the U.S. dollar in the Asian session on Friday. Against the greenback, the ringgit fell to a 2-day low of 4.1888. At yesterday's close, the ringgit was trading at 4.1100 against the greenback. If the ringgit extends its downtrend, it is likely to find support around the 4.35 area.


News are provided byInstaForex.

Ease Of Doing Business: India Amends Transfer Pricing Rules


As part of efforts to improve its ranking on 'Ease of Doing Business' and in line with the promise made by Finance Minister Arun Jaitley in his Budget speech, the Indian government on Tuesday notified amendments to the transfer pricing rules to incorporate a "range concept" and use of multi-year data in line with the international best practices. The amended regime will be applicable for computation of arms. The amended rules would provide clarity in determination of price in transfer pricing cases and reduce disputes on transfer pricing (TP) issues. The use of multiple-year data would average out any variations in a particular year and add value to the transfer pricing analysis. The range concept will be applicable in certain cases for determining the price and will begin with the 35th percentile and end with the 65th percentile of the comparable prices. Transaction price shown by the taxpayers falling within the range will be accepted and no adjustment will be made. The amended regime will be applicable for computation of Arm's Length Price (ALP) of international transactions and specified domestic transactions undertaken on or after 1/04/2014. The news rules are designed to provide stability in the direct tax regime. The notification is available on the website of the Department incometaxindia.gov.in.


News are provided by InstaForex

Taiwan Sep Jobless Rate Rises More Than Expected





Taiwan's unemployment rate climbed more-than-expected in September after remaining stable in the prior month, figures from the Directorate General of Budget Accounting and Statistics, or DGBAS, showed Thursday. The jobless rate rose to a seasonally adjusted 3.79 percent in September from 3.74 percent in August. Economists had expected the unemployment rate to increase slightly to 3.75 percent. The latest unemployment rate was the highest since December 2014, when it marked 3.82 percent. On an unadjusted basis, the unemployment rate edged up to 3.89 percent in September from 3.88 percent in the prior month. The number of unemployed people increased to 442,000 in September from 435,000 in the preceding month. The labor force participation rate came in at 58.69 percent in September, up from 58.65 percent a month ago.


News are provided byInstaForex.

10-year Treasuries most expensive in two years





The 10-year Treasuries are the most expensive compared with other maturities in over two years, as the Federal Reserve lacks clarity over the timing of its first interest rate hike since 2006, pushing investors to the benchmark note. Ahead of the central bank's September 17 rate decision, the yield hovered about 2% this month from as high as 2.3%. Futures traders reduced rate increase bets by December to as low as 27% last week, as October 2 report showed the economy gained less than 150,000 jobs in September. The yield on the Treasury 10-year note was slightly changed at 2.03%. The 2% security expiring in August 2025 ended at 99 ¾.


News are provided byInstaForex.

China Leading Index Jumps 1.6% In September - Conference Board





A leading economic index for China spiked in September, the latest survey from Conference Board revealed on Friday, climbing 1.6 percent. That follows the 1.0 percent increase in August and the 0.9 percent gain in July. The coincident index skidded 1.2 percent after rising 0.7 percent in August and 1.0 percent in July. "China's economic situation, as measured by the coincident index, slowed substantially in September, due to very weak consumer demand and a struggling industrial sector," said Andrew Polk, resident economist at the Conference Board China Center in Beijing.


News are provided byInstaForex.

BOJ to slash price projections for next fiscal year





The Bank of Japan, at a rate review next week, will slash its growth and inflation outlook for the fiscal year, but modestly reduce its projections for the following year. Sources privy to the matter said the central bank, by not straying far from its current projections, can still postulate it remains on course to hit its 2% inflation goal next year without bolstering its massive purchase program. But critics noted the program has been only slightly effective and disrupts the bond market. Also, Finance Minister Taro Aso expressed doubts additional monetary stimulus would help attain the BOJ's target. Sources added the BOJ, contending with inflation, is preparing to reduce its core consumer inflation forecast for this year, which began in April, to below 0.5% in a semi-annual report due October 30. However, they added the central bank will only cut by 0.1-0.2 point its estimates the price hikes will advance to 1.9% in the following fiscal year, keeping it close to its target.


News are provided byInstaForex.

RBS signs up workers for Facebook at Work





As Royal Bank of Scotland became the first bank to take on Facebook at Work, where bankers will soon be using the social network to communicate with colleagues, exchange details, and offer services to the public. The British bank is sending an in-house business version of Facebook for all employees, from Chief Executive Ross McEwan to back office workers and branch staff. The move seeks to boost productivity and connect people throughout the firm more quickly and effectively via a mobile app and desktop site. RBS is also considering ways of interacting with clients through Facebook. The social network company is broadening its corporate version beyond its trial partners, as well as planning to charge for additional features including integrations with other enterprise software like Microsoft's Office 365.


News are provided byInstaForex.