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March 14 (Reuters) - Australia's economic health will be its central bank's compass for plotting the course of rate hikes, as stringent regulation insulates its banking sector from the collapse of Silicon Valley Bank (SVB) (SIVB.O), analysts at top domestic banks said. Analysts at three of the top four lenders - Commonwealth Bank of Australia (CBA.AX), National Australia Bank (NAB.AX), and ANZ Group Holdings (ANZ.AX) - continue to expect the RBA to deliver its 11th consecutive rate hike next month. 0#RBAWATCH"The Australian domestic fundamentals remain consistent with further tightening from the RBA," Adelaide Timbrell, senior economist at ANZ Research said. Australian banking sector, while not immune to the collapse of SVB, is in a "more insulated" position, Rodrigo Catril, senior FX strategist at NAB said. Globally, banking stocks have taken a hit from the collapse of SVB despite of assurances from U.S. authorities, prompting a reassessment of interest rate expectations.

☆ European stocks head for higher open but SVB's collapse rattles global market confidence
▼ + stars: | 2023-03-14 | by ( Holly Ellyatt | ) www.cnbc.com time to read: 1 min

Oil prices dipped as the collapse of Silicon Valley Bank continues to reverberate across global markets. National Australia Bank expects the prices to drop further following a stronger than expected U.S. inflation data slated for release later. "Oil prices fall on market fall-out from the US Silicon Valley Bank collapse. While energy prices have seen some relief due to diminishing shortage concerns, upside risks remain said Commonwealth Bank of Australia. "We see upside risks to our outlook driven by a sustained fall in Russia's oil and diesel exports," CBA said.

☆ Dollar slides on likely rate pause in wake of SVB collapse
▼ + stars: | 2023-03-13 | by ( Ankur Banerjee | ) www.reuters.com time to read: +3 min

Investor focus will now be on Tuesday's inflation data to gauge how hawkish the Fed is likely to be. "Given what's happened in the U.S. financial system, a 25 basis point hike is more likely than a 50 basis point hike." The market is now pricing a nearly 18% chance of the Fed sticking to its current rate and an 82% chance of a 25 basis point hike. In contrast, the market was pricing a 70% chance of a 50 basis point hike before the SVB collapse. Meanwhile, the Japanese yen strengthened 0.61% versus the U.S. dollar to 134.18 per dollar, having touched a one-month high of 133.58 earlier in the session.

☆ Dollar sinks as US intervenes on SVB collapse
▼ + stars: | 2023-03-13 | by ( Ankur Banerjee | ) www.reuters.com time to read: +3 min

It had previously expected a 25 basis point hike. The SVB collapse led investors to speculate that the Fed would now hesitate to hike interest rates by a super-sized 50 basis points this month. "Given what's happened in the U.S. financial system, a 25 basis point hike is more likely than a 50 basis point hike." In contrast, the market was pricing a 70% chance of a 50 basis point hike before the SVB collapse. The Australian dollar surged 1.41% to $0.667, and was on track for its biggest one-day percentage jump since Jan. 6.

☆ VIEW US intervenes to shore up SVB deposits, stem financial fallout
▼ + stars: | 2023-03-13 | by ( ) www.reuters.com time to read: +10 min

March 13 (Reuters) - The U.S. government announced actions to shore up deposits and stem any broader financial fallout from the sudden collapse of tech startup-focused lender Silicon Valley Bank (SIVB.O) (SVB), sending U.S. stock futures higher. "The market turbulence sparked by SVB has upended rising market expectations on the Fed rate path. The fact that SVB and Signature Bank depositors will be made whole is critical in maintaining trust in the financial system and should help stem contagion fears this week. But it also means that 50 basis points (a possible Fed interest rate hike) is off the table." Given what's happened in the U.S. financial system, a 25 basis point hike is more likely than a 50 basis point hike."

☆ Dollar slides as U.S. intervenes on SVB collapse
▼ + stars: | 2023-03-13 | by ( Ankur Banerjee | ) www.reuters.com time to read: +2 min

The U.S. government announced several measures early on Monday Asian hours, and said all SVB customers will have access to their deposits starting on Monday. The dollar index , which measures the U.S. currency against six rivals, fell 0.153% at 104.080. The Japanese yen strengthened 0.34% to 134.52 per dollar, the highest in a month as investors made a move to safe-haven Asian currencies. "The currency market is still digesting all the news related to the collapse of SVB," said Carol Kong, currency strategist at Commonwealth Bank Of Australia. The Australian dollar rose 0.79% to $0.663, while the kiwi rose 0.36% to $0.616.

☆ Instant view: US intervenes to shore up SVB deposits, limit financial fallout
▼ + stars: | 2023-03-13 | by ( ) www.reuters.com time to read: +11 min

March 13 (Reuters) - The U.S. government announced actions to shore up deposits and stem any broader financial fallout from the sudden collapse of tech startup-focused lender Silicon Valley Bank (SIVB.O) (SVB), sending U.S. stock futures higher. ALVIN TAN, HEAD OF ASIA FX STRATEGY, RBC CAPITAL MARKETS, SINGAPORE:"Markets remain unsettled from the SVB failure. "The market turbulence sparked by SVB has upended rising market expectations on the Fed rate path. ANTHONY SAGLIMBENE, CHIEF MARKET STRATEGIST, AMERIPRISE FINANCIAL, TROY, MICHIGAN:"It was imperative that regulators stepped in and decisively acted before markets around the world opened for the week. GREG MCBRIDE, CHIEF FINANCIAL ANALYST, BANKRATE:"While the Fed has talked about a lot in the past year, until today it has been in the context of monetary policy.

☆ Australian regulator says banks paid $3.10 bln in compensation for wrongly charged fees
▼ + stars: | 2023-03-10 | by ( ) www.reuters.com time to read: +1 min

[1/3] Australian dollars are seen in an illustration photo February 8, 2018. REUTERS/Daniel MunozMarch 10 (Reuters) - Australia's corporate watchdog said the country's six largest banking services providers have paid or offered A$4.7 billion ($3.10 billion) in compensation to customers who suffered losses for fees charged for services that were not provided. The largest business lender in Australia, NAB, took the lead and coughed up A$1.49 billion in compensation as of the end of 2022, followed by CBA and Westpac coughing up a payout of A$1.13 billion and $1.03 billion, respectively. ASIC said its final update on remediation figures "draws a line" under its eight-year long programme of addressing financial institutions' failure to provide ongoing services to fee-paying customers. ($1 = 1.5177 Australian dollars)Reporting by Riya Sharma in Bengaluru; Editing by Krishna Chandra Eluri and Rashmi AichOur Standards: The Thomson Reuters Trust Principles.

☆ Dollar towers on lingering effects of Powell's testimony
▼ + stars: | 2023-03-09 | by ( Rae Wee | ) www.reuters.com time to read: +3 min

In the second day of his testimony to Congress on Wednesday, Powell reaffirmed his hawkish message, though struck a cautious note that debate on the scale and path of future rate hikes was still underway and would be data-dependent. As a result, the U.S. dollar index , which measures the greenback against a basket of six peers, slipped 0.02% to 105.61. Conversely, the Bank of Canada on Wednesday left its key overnight interest rate on hold at 4.50%, becoming the first major central bank to suspend its monetary tightening campaign. The Canadian dollar stood at 1.3808 per U.S. dollar on Thursday, after having weakened to a more than four-month low in the previous session following the decision. Elsewhere, the kiwi rose 0.03% to $0.6107, having slumped to a near four-month low in the previous session.

☆ Australia's 'Big Four' banks to hike home loan rates to match RBA move
▼ + stars: | 2023-03-09 | by ( ) www.reuters.com time to read: +1 min

March 9 (Reuters) - Australia's so-called 'Big Four' banks said on Thursday they would pass on the central bank's latest quarter-percentage point interest rate hike in full to their home loan customers. Among the top four lenders, the Commonwealth Bank of Australia (CBA.AX), National Australia Bank (NAB.AX), and ANZ Group Holdings (ANZ.AX) will hike their rates from March 17, while Westpac Banking Corp's (WBC.AX) will hike its rates from March 21, the banks said in separate statements. Interest rates in the country have already gone up by 350 bps since last May, when they were at an all-time low of 0.1%. However, RBA Governor Philip Lowe said the central bank was closer to pausing its aggressive cycle of rate increases as policy was now in restrictive territory, and suggested a halt could come as soon as April. Reporting by Navya Mittal and Himanshi Akhand in Bengaluru; Editing by Rashmi AichOur Standards: The Thomson Reuters Trust Principles.

☆ Commonwealth Bank of Australia's Indonesian arm hit by cyber attack
▼ + stars: | 2023-03-08 | by ( ) www.reuters.com time to read: 1 min

March 8 (Reuters) - Commonwealth Bank of Australia (CBA.AX) said on Wednesday its Indonesian unit, PT Bank Commonwealth (PTBC), had been hit by a cyber incident. The incident involves unauthorised access of a web-based software application used for project management, the country's top lender said, adding that its Australian systems were segregated from PTBC's systems. Reporting by Riya Sharma in Bengaluru; Editing by Sherry Jacob-PhillipsOur Standards: The Thomson Reuters Trust Principles.

☆ The Fed plans to keep hiking, but Australia is set to pause as it warns of recession risks
▼ + stars: | 2023-03-08 | by ( Jihye Lee | ) www.cnbc.com time to read: +3 min

Brook Attakorn | Moment | Getty ImagesAs Federal Reserve Chair Jerome Powell hints at bigger and possibly faster rate hikes ahead, Australia's central bank could be headed toward a different path. 'Plurals are gone'Comparing the wording from the central bank's previous meeting, Commonwealth Bank of Australia economist Gareth Aird said a pause could come as early as April. "Markets should treat the April Board meeting as 'live' and the RBA could pause," he said in a note shortly after the central bank's announcement. "The reference to assessing 'when' means that the RBA Board has not yet made their mind up around increasing the cash rate in April," he said. Divergence of rhetoricThe Australian dollar hovered at the weakest levels not seen since November 2022 after the central bank's decision.

☆ Oil falls 3% on U.S. rate hike expectations, strong U.S. dollar
▼ + stars: | 2023-03-07 | by ( Laila Kearney | ) www.reuters.com time to read: +2 min

Brent crude futures shed $2.35, or 2.7%, to $83.83 a barrel by 1:05 p.m. EST (1805 GMT) . U.S. West Texas Intermediate crude dropped by $2.48 a barrel, or 3%, at $77.98. Prices sank after Powell told Congress the Fed would likely need to increase rates more than expected in light of recent strong economic data. More pressure came from a contraction in China's exports and imports in January and February, including crude oil imports, despite a lifting of COVID-19 restrictions. The American Petroleum Institute's weekly report is due at 2130 GMT on Tuesday, with U.S. Energy Information Administration data following at 1530 GMT on Wednesday.

☆ Oil falls 2% on U.S. rate hike expectations, stronger U.S. dollar
▼ + stars: | 2023-03-07 | by ( Laila Kearney | ) www.reuters.com time to read: +2 min

Brent crude futures shed $1.46, or 1.7%, to $84.72 a barrel by 11:06 a.m. EST (1606 GMT). Prices declined after Powell told Congress the Fed would likely need to increase rates more than expected in light of recent strong economic data. The remarks pushed up the U.S. dollar , which rose 0.70% on the day at 104.97. A stronger dollar typically reduces demand for dollar-denominated oil from buyers paying with other currencies. Further pressure came from a contraction in China's exports and imports in January and February, including crude oil imports, despite a lifting of COVID-19 restrictions.

☆ Oil edges lower on stronger dollar and weak Chinese data
▼ + stars: | 2023-03-07 | by ( Rowena Edwards | ) www.reuters.com time to read: +2 min

Prices declined as the U.S. dollar rose ahead of Federal Reserve Chair Jeremy Powell's testimony to Congress at 1500 GMT on Tuesday. A stronger dollar typically reduces demand for dollar-denominated oil from buyers paying with other currencies. Further pressure came from a contraction in China's exports and imports in January and February, including crude oil imports. U.S. crude inventories could register their first decrease in 10 weeks, a Reuters poll showed before official data is published this week. The American Petroleum Institute's weekly report is due at 2130 GMT on Tuesday, with Energy Information Administration data following at 1530 GMT on Wednesday.

Brent crude futures rose 18 cents to $86.36 per barrel by 0730 GMT after settling 0.4% higher on Monday. U.S. West Texas Intermediate crude was at $80.62 per barrel, up 16 cents, following a 1% gain in the previous session. "The supply concerns that helped oil prices higher overnight likely stemmed from Chevron's CEO comment that there's 'not a lot of swing capacity' in oil markets," Commonwealth Bank of Australia analyst Vivek Dhar said in a note. "The key unknown for 2023 will be the disruption to Russia's oil and refined product exports." ET (2130 GMT) on Tuesday, and at 10:30 a.m. (1530 GMT) on Wednesday from the Energy Information Administration.

☆ Australia central bank tempers hawkish outlook after hiking rates to over decade high
▼ + stars: | 2023-03-07 | by ( Stella Qiu | ) www.reuters.com time to read: +4 min

In a dovish step, the central bank dropped a reference to further rate "increases", saying instead that "further tightening" would be needed, suggesting that just one more hike might be enough. Rates have already gone up by a whopping 350 basis points since last May, easily the most aggressive tightening campaign by the central bank in modern history. Speculation was rife that the central bank could temper the forward guidance given recent softer data with unemployment rising, economic growth disappointing and wages not climbing as fast as feared. Gareth Aird, economist at Commonwealth Bank of Australia, sees a risk of the RBA could pause in April. "The reference to assessing 'when' means that the RBA Board has not yet made their mind up around increasing the cash rate in April," Aird said.

☆ Oil edges up on supply concerns, China demand hopes
▼ + stars: | 2023-03-07 | by ( Florence Tan | ) www.reuters.com time to read: +2 min

Companies Chevron Corp FollowSINGAPORE, March 7 (Reuters) - Oil prices edged up after industry executives flagged concerns about limited spare capacity in the market and uncertainty over Russian supplies while demand from top crude importer China is recovering. Brent crude futures had risen 40 cents, or 0.5%, to $86.58 a barrel by 0154 GMT after settling 0.4% higher on Monday. "The supply concerns that helped oil prices higher overnight likely stemmed from Chevron's CEO comment that there's 'not a lot of swing capacity' in oil markets," Commonwealth Bank of Australia analyst Vivek Dhar said in a note. "The key unknown for 2023 will be the disruption to Russia's oil and refined product exports." ET (2130 GMT) on Tuesday, and at 10:30 a.m. (1530 GMT) on Wednesday from the Energy Information Administration.

☆ Australian prime minister seeks to diversify trade, investment on visit to India
▼ + stars: | 2023-03-07 | by ( ) www.cnbc.com time to read: +1 min

Australian Prime Minister Anthony Albanese said on Tuesday his government wants to diversify trade and foreign investment partners, as he prepares to lead a business delegation to India which he said shares Australia's democratic values. China is easily Australia's largest trading partner, although a diplomatic dispute has resulted in what Australia calls "trade blockages" being imposed by China on a raft of Australia's exports. Canberra has asked Beijing to remove those blockages as the two nations resume talks after a years-long diplomatic freeze. Business leaders across transport, resources, finance, higher education, architecture and energy will on Wednesday accompany Albanese to India, which is Australia's sixth largest trading partner. The delegation includes Macquarie Group Chief Executive Shemara Wikramanayake, Commonwealth Bank of Australia Chief Executive Matt Comyn, Fortescue Metals Group founder Andrew Forrest, Universities Australia Chief Executive Catriona Jackson, and executives from BHP , Rio Tinto and Graincorp .

☆ Oil steady as market juggles supply and demand fears
▼ + stars: | 2023-03-07 | by ( Rowena Edwards | ) www.reuters.com time to read: +2 min

Brent crude futures fell 22 cents, or 0.26%, to $85.96 a barrel by 1043 GMT. Bearish sentiment surrounded a contraction in China's exports and imports in January and February, including crude imports. The decline came despite a lifting of COVID-19 restrictions, pointing to weakness in foreign demand. "The key unknown for 2023 will be the disruption to Russia's oil and refined product exports," Commonwealth Bank of Australia analyst Vivek Dhar said in a note. The market will also look for direction from U.S. Federal Reserve Chair Jerome Powell's testimony before the Senate Banking Committee at 1500 GMT on Tuesday.

☆ Australian PM seeks to diversify trade, investment on India visit
▼ + stars: | 2023-03-06 | by ( Kirsty Needham | ) www.reuters.com time to read: +3 min

SYDNEY, March 7 (Reuters) - Australian Prime Minister Anthony Albanese said on Tuesday his government wants to diversify trade and foreign investment partners, as he prepares to lead a business delegation to India which he said shares Australia's democratic values. China is easily Australia's largest trading partner, although a diplomatic dispute has resulted in what Australia calls "trade blockages" being imposed by China on a raft of Australia's exports. Business leaders across transport, resources, finance, higher education, architecture and energy will on Wednesday accompany Albanese to India, which is Australia's sixth largest trading partner. "We can do all these things as well as remaining a trusted and reliable supplier of energy to key trading partners such as Japan and the Republic of Korea," he added. Albanese said Australia would be "deepening and diversifying our international investment and trade links".

☆ Dollar subdued as traders eye Powell testimony, jobs report
▼ + stars: | 2023-03-06 | by ( Ankur Banerjee | ) www.reuters.com time to read: +3 min

Futures imply a 72% chance the Fed will raise interest rates by 25 basis points at its meeting on March 22. The spotlight will be firmly on the February jobs report scheduled for Friday and Fed Chair Jerome Powell's testimony to congress on Tuesday and Wednesday. Citi strategists expect Powell to indicate a preference for a 25 bps hike but leave all options on the table, since he will speak before the jobs data are released. The Japanese yen strengthened 0.01% to 135.85 per dollar, while sterling was last trading at $1.203, down 0.08% on the day. In the spot market, the onshore yuan opened at 6.9072 per dollar and was last changing hands at 6.9067.

☆ Asian stocks up on hopes Fed will adopt slow approach to more hikes
▼ + stars: | 2023-03-03 | by ( Julie Zhu | ) www.reuters.com time to read: +3 min

HONG KONG, March 3 (Reuters) - Asian shares rose on Friday after Wall Street reversed losses on signals of a measured policy tightening approach from the U.S. Federal Reserve as well as on prospects of a solid economic recovery in China. Australian shares (.AXJO) were up 0.36%, helped by gains in miners and financials, while Japan's Nikkei stock index (.N225) rose 1.42%. U.S. stocks rose on Thursday, reversing earlier losses, as Treasury yields pulled back from earlier highs, following the rates comments from Atlanta Fed President Bostic. read moreThe yield on benchmark 10-year Treasury notes touched 4.0556% compared with its U.S. close of 4.073% on Thursday. The two-year yield , which rises with traders' expectations of higher Fed fund rates, rose to 4.8913%compared with a U.S. close of 4.904%.

☆ Dollar finds footing as focus turns to Europe inflation
▼ + stars: | 2023-03-02 | by ( ) www.cnbc.com time to read: +3 min

The dollar lost 0.9% on the euro on Wednesday, its sharpest drop in a month. It was about 0.2% firmer on the euro on Thursday, with the common currency at $1.0649 in Asia trade ahead of inflation data due at 1000 GMT. The New Zealand dollar which rose 1.2% on Wednesday, fell 0.4% on Thursday to $0.6230. China's yuan settled back to 6.8928 to the dollar after logging its biggest jump of 2023 on Wednesday. Besides European inflation, euro zone employment and central bank minutes are due later in the day, as is U.S. jobless claims data.

☆ This is one metal investors can consider buying on dip 'at any chance' they get, according to an analyst
▼ + stars: | 2023-03-02 | by ( Lee Ying Shan | ) www.cnbc.com time to read: +3 min

The benchmark 62%-grade iron ore last traded at $126.80 per ton. Vincent Mundy | Bloomberg | Getty ImagesFalling prices for global crude steel output could also contribute to lower iron ore prices. "Global crude steel output fell modestly in year-on-year terms last month ... The result was driven by a fall in steel output amongst most of the world's largest steel producers." World crude steel output recorded a 3.3% drop in January compared to the same period last year, according to the World Steel Association.

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