The Traderszone Network

It’s back! The Minxin PMI
The Minxin PMI became the goto number when the Markit/Caixin PMI was pulled towards the end of last year. .
Then it got suspended as well pending a “major adjustment”
Well, the latest numbers have just popped up and shows manufacturing at 43.6 and non-manufacturing at 40.1. This compares to the most recent numbers from the main Chinese and Caixin PMI’s of 49.0 and 48.0 respectively but they’re for Feb. This number has been running well below these other two indicators for a while.

ECB’s Erkki Liikanen speaks in Finland
– Policy rates are expected to remain at present of lower levels for an extended period of time
– If the outlook or financing conditions worsen the ECB still has the capacity to boost inflation and growth
Back in the real world, inflation remains below zero despite €60bn a month in QE, negative rates and long term refi operations

January 2016 Eurozone current account balance
– Prior revised to 28.6bn
– NSA 6.3bn vs 41.4bn prior. Revised to 44.8bn
– Net investment flow 45.6bn vs 85.0bn prior. Revised to 89.3bn

More from the Bank of France conference in Paris
– Expects core CPI close to 2% in 2017
– Sees firmer inflation this year than last year
– Fed buying stocks is a terrible idea and we should not be allowed to do it
Galhau had a few more comments too;

U.S. inflation will likely accelerate in coming years and move toward the Federal Reserve’s 2 percent target, Jeffrey Lacker said.

Fed’s Jeffrey Lacker speaks in Paris
– Financial market inflation expectation pricing gives him some pause
– Inflation will move up significantly after the price of oil bottoms while core inflation will move towards 2% after the dollar tops out
Mildly dovish from the hawk but he’s not a voter this year

The legendary hedge fund manager loses big time, not once but twice, writes Brett Arends.
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