New Zealand

Germany Slams Trump Criticism: Urges US To "Build Better Cars", Accuses Washington Of Causing Refugee Crisis

Responding to Trump's Sunday criticism, Germany's economy minister Sigmar Gabriel said "there is a link between America’s flawed interventionist policy, especially the Iraq war, and the refugee crisis, that’s why my advice would be that we shouldn’t tell each other what we have done right or wrong" and also urged the US to "build better cars" if it wants Germans to buy them.

Key Events In The Coming Week: Trump Inauguration, Davos, Theresa May, ECB, China GDP

The week ahead will be a busy one, with a plethora of events including the Davos shindig, where particular focus will be on Chinese President Xi Jinping, the first Chinese president to attend. China will also announce GDP on Friday, which also marks the inauguration of Donald Trump as the 45th US president. Tuesday brings Theresa May's long-awaited Brexit speech.

Cable Plunges To Flash-Crash Lows On May's "Hard Brexit" Speech; DB Eyes GBPUSD 1.06; Euro Parity

After the overnight report previewing Theresa May's Tuesday speech calling for a "clean and hard" Brexit, cable has plunged to under 1.20 in very early (and illiquid) AsiaPac trading, the lowest level for sterling relative to the dollar since the October flash-crash. And, as DB warns, a full Brexit would be "consistent with GBP/USD at 1.06 or EUR/GBP close to parity respectively."

US To Sell 8 Million Barrels Of Oil From The Strategic Petroleum Reserve

The US will offer to sell some 8 million barrels from the petroleum reserve. According to the notice of sale, the Energy Department is accepting bids on sweet crude oil until 2pm CT Jan. 17. The contracts will then awarded by the end of January, with early deliveries expected in February and other deliveries in March, April.

US Futures Flat Ahead Of December Payrolls; Dollar Rebounds

European shares fell modestly, Asian equities declined for the first day in three, and US equity futures were unchanged before the December U.S. nonfarm payrolls report. China’s offshore yuan fell the most in a year to pare a record weekly rally, while Mexico’s peso climbed after the central bank sold dollars. Oil was trading lower in early trading.

Dollar Flash Crashes On Last Trading Day Of 2016

It is perhaps appropriate that in a year everyone finally admitted markets are manipulated by central banks and broken by HFT algos, that on the last trading day of 2016, the dollar flash crashed with for no reason whatsoever.

US Selloff Spooks Thinly Traded Global Markets Sending Stocks, Yields, Dollar Lower

One day after the biggest drop in US stocks in two months, global stocks struggled as they tried to close out 2016 on a positive note. The dollar dropped the most in two weeks, sliding alongside bond yields, while oil retreated from its highest close in 17 months. European stocks slid from a 2016 peak on renewed concerns about Italian banks.