Policymakers at the European Central Bank are leaning toward keeping interest rates unchanged this month, postponing their verdict on whether the fallout of the Iran war warrants a response, according to people familiar with the debate.

Tighter financing conditions are helping to keep inflation expectations anchored for the moment, the people argued, adding that a rate hike wouldn’t necessarily alter market pricing much. They asked not to be identified sharing the content of private conversations. (BBG – Continue Reading)

China’s economy gathered steam in the first quarter, as robust exports growth offset tepid domestic demand, though the Iran war-fueled energy shock clouds growth outlook, threatening global demand.

Gross domestic product grew 5% in the three months to March, data from the National Statistics Bureau showed Thursday, accelerating from 4.5% in the prior quarter and exceeding economists’ forecast for a 4.8% growth in a Reuters poll.

Beijing had lowered its growth target this year to a range of 4.5% to 5%, the least ambitious goal on record going back to the early 1990s, in a tacit acknowledgement of demand slowdown and lingering trade tensions with the US. (CNBC – Continue Reading)

Australian employment rose broadly in line with expectations in March, while the jobless rate stayed low, but a war-driven global energy shock could test the labour market's resilience soon.

Markets maintained bets that there is a 68% probability that the Reserve Bank of Australia could hike interest rates for a third time this year to 4.35% in May. The Australian dollar was firm at $0.7174, not far from a four-year top.

Figures from the Australian Bureau of Statistics showed on Thursday that net employment ⁠increased 17,900 in March from February, when it rose a revised 49,600. That was mostly in line with market forecasts of a trend-like 20,000 gain. (RTRS – Continue Reading)