[U][B]Fundamental Headlines[/B][/U]
• [B]USDNZD [/B]– New Zealand’s annual inflation rate rose 0.7% for the first quarter, on higher food and energy costs. Prices for the year rose 3.4%, accelerating from 3.2% in December, but less then forecasts of 3.5%. Nevertheless, the RBNZ will have to continue to be concerned with inflation, which will prevent them from cutting rates as growth slows. For more news and resources, visit our New Zealand Dollar Currency Room.
• [B]GBPUSD [/B]– U.K. annualized CPI unexpectedly remained unchanged at 2.5%, against expectations of 2.6%, as slowing growth kept prices in check. Meanwhile, the housing industry continues to deteriorate as the RICS House Price balance declined to minus 78.5%, the worse since 1978. The slowing of inflation will open the door for future rate cuts from the BoE, in order to provide the liquidity needed to revive the slumping housing market. Discuss the topic and your trade ideas in the GBP/USD Forum.
• [B]EURUSD [/B]– German investor confidence unexpectedly fell to minus 40.7 from minus 32, as the outlook for corporate profits has diminished. Concerns are increasing that rising inflation, a strong Euro and tight credit markets will slow the economy. The ECB has maintained that the economy can withstand a U.S. slowdown, but if confidence continues to wane and profits fall, they may have to abandon their hawkish stance. Discuss the topic and your trade ideas in the EUR/USD Forum.
• Delta, Northwest Agree To Merger; May Start Trend (link)– Wall Street Journal
• Russian Oil Slump, Stirs Supply Jitters (link) – Wall Street Journal
• Trusted Buffet Arm Aide Quits Reinsurance Arm (link) – Financial Times
• U.S. Foreclosures Jump 57% As Homeowners Walk Away (link) – Bloomberg
• German Investor Confidence Unexpectedly Fell in April (link) – Bloomberg
