· Dollar holds gains as traders look to U.S. data for policy cues
The dollar clung to a recent bounce on Monday as investors made a cautious start to a week crammed with central bank meetings and big-ticket U.S. economic data, looking for clues on the outlook for global inflation and for policymakers’ response.
Asia trade was thinned by public holidays in Japan and China that also kept a lid on volatility, leaving the greenback where it settled after a Friday leap. It steadied at $1.2029 per euro and bought 109.28 yen.
The dollar index, measured against six major currencies, held at 91.242. The index dropped 2% through April as a positive view of global recovery prospects lifted trade-exposed currencies at the dollar’s expense.
“We expect the dollar to trend lower because of the improving global economic outlook,” said Commonwealth Bank of Australia analyst Kim Mundy in an emailed note, with U.S. import demand also likely to support exporters’ currencies.
Dallas Fed President Robert Kaplan caused a stir on Friday by calling for beginning the conversation about tapering, although Federal Reserve Chair Jerome Powell has been clear that he is likely to be patient.
Powell is due to speak later on Monday and will be followed by a raft of Fed officials this week. Central bank policy meetings are also scheduled this week in Australia, Britain and Norway.
· Ethereum breaks past $3,000 to quadruple in value in 2021
Cryptocurrency ether broke past $3,000 on Monday to set a new record high in a dazzling rally that has outshone the bigger bitcoin, as investors bet that ether will be of ever greater use in a decentralised future financial system.
Ether , the token transacted on the ethereum blockchain, rose 3% on the Bitstamp exchange to $3,051.99 by lunchtime in Asia. It is up more than 300% for the year so far, easily outpacing a 95% rise in the more popular bitcoin.
· ECB can start phasing out emergency stimulus when vaccinations pick up - de Guindos
The European Central Bank can start to phase out emergency stimulus measures when the pace of coronavirus vaccinations reaches a critical level and the economy picks up speed, Luis de Guindos, the bank’s vice president, told an Italian newspaper.
The ECB will next meet on June 10 and conservative policymakers are already calling for a cut in bond purchases, while others, particularly from the bloc’s south, are arguing for continued patience in clawing back support.
· U.S. to discuss wider Covid vaccine licensing as India calls to waive patent protections
White House Chief of Staff Ron Klain said Sunday that the Biden administration is looking to distribute the coronavirus vaccine to India and other countries now that millions of Americans have received their doses.
In recent weeks, India has grappled with a staggering rise in new coronavirus infections. Over the weekend, India reported 400,000 daily cases, bringing the nation’s cumulative total to 19,557,457 cases, according to figures compiled by Johns Hopkins. The spike may have been triggered by a highly contagious Covid variant, known as B.1.617, which was first identified in the country.
· Covid cases fall sharply in U.S., Gottlieb calls vaccination campaign ‘monumental achievement’
New cases of Covid-19 are dropping sharply across the U.S. as millions of people get vaccinated daily, fueling optimism that the nation may have averted the surge of infections gripping other parts of the world and is finally turning the corner on what was one of the worse outbreaks globally.
As of Saturday, the 7-day average of daily new cases fell to under 50,000 for the first time since October and is down 17% from a week prior, according to a CNBC analysis of data from Johns Hopkins University. Hospitalizations and deaths from the disease are also falling.
· Online share of retail sales jumps to 19% amid lockdowns - U.N.
· Indian scientists flag virus mutations that could ‘evade immune response’
· India's COVID-19 case total nears 20 million
· Japan's severe COVID-19 cases hit record 1,050, total infections at 604,885
The number of COVID-19 patients with severe symptoms hit a record 1,050 across Japan on Sunday, according to the latest figures from the health ministry and local authorities.
The previous record was 1,043 on Jan. 27 when several prefectures were under the second state of emergency over the coronavirus
· South Korea reported 488 new coronavirus cases on Monday and one more virus-related fatality.
The Korea Disease Control and Prevention Agency said 465 local and 23 imported infections were confirmed in the last 24 hours, pushing the total caseload to 123,728.
· Blinken says China acting 'more aggressively abroad' -'60 Minutes' interview
U.S. Secretary of State Antony Blinken said in an interview that aired on Sunday that China had recently acted "more aggressively abroad" and was behaving "increasingly in adversarial ways."
· New Zealand PM Ardern says travel bubble with Cook Islands to start on May 17
· China, Japan, S.Korea vow 'targeted' support for recovery from pandemic
Finance ministers and central bank governors from China, Japan and South Korea on Monday vowed “targeted” measures for those countries most affected by the COVID-19 pandemic, and committed to foster fiscal and financial stability.
· Online share of retail sales jumps to 19% amid lockdowns: U.N.
Online sales accounted for nearly a fifth of total retail turnover last year as lockdowns to combat the spread of the coronavirus pandemic fuelled a boom in e-commerce, a United Nations study released on Monday showed.
Online sales accounted for 19% of overall retail sales in 2020, up from 16% a year earlier, according to estimates from the UN Conference on Trade and Development (UNCTAD) based on national statistical offices in major economies.
South Korea reported the highest share at 25.9%, up from 20.8% the year before. China had a 24.9% share, Britain 23.3% and the United States 14.0%.
· Oil prices slip as pandemic takes toll on India's fuel sales
Oil prices fell on Monday as a catastrophic second wave of a coronavirus epidemic in India cut short a recovery in oil demand there, offsetting optimism about a strong rebound in consumption in developed countries and China in the second half of the year.
Brent crude futures for July fell 48 cents, or 0.7%, to $66.28 a barrel by 0620 GMT while U.S. West Texas Intermediate for June was at $63.11 a barrel, down 47 cents, or 0.7%.
State-level restrictions aimed at stemming infections in India have led to a drop fuel sales in the world’s third largest consumer in April, preliminary data shows.
On Sunday, a leading Indian industry body urged authorities to curtail economic activity, as the nation’s healthcare system was overwhelmed by the spiralling infections.
Globally, however, the rollout of vaccination campaigns is expected to lift oil demand, especially during peak travel season in the third quarter, prompting analysts to increase their forecasts for Brent prices for a fifth straight month, a Reuters poll showed.
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