After a year of bruising interrogation, Australia’s oligopoly banking system has emerged from a government-appointed inquiry with reputations tarnished and some top executives removed – but also an unexpected opportunity to rebuild. Proposed reforms to the mortgage broking industry revealed on Monday will potentially put billions of dollars of broker-originated loans in play in the banks’ most important profit-generating sector. Australia’s “Big Four” banks – Australia and New Zealand Banking Group, Commonwealth Bank of Australia, National Australia Bank and Westpac Banking Corp – now have the opportunity to battle for the money projected to leak from the mortgage broking sector and capture extra margins by cutting out an intermediary.
In main currencies, regarding EUR/USD, was sold-off following additional signs of an economic downturn in the Union, following the release of Germany Factory Orders, down in December by 0.4% MoM and by 3.9% YoY, and a report from the European Commission, slashing growth and inflation perspectives for this year. Regarding GBP/USD, as widely expected, MPCs unanimously opted to keep rates and the APP unchanged, yet at the same time, decided to downgrade this year growth’s forecast from 1.7% to 1.2%, as a result of mounting Brexit uncertainty.
In commodities, Gold old prices trade little changed around $1310 on Friday start. The yellow metal rose Thursday after comments from White House advisor raised doubts over the trade deal between the US and China. Oil prices took a dip on Friday in Asia despite reports of OPEC output cuts and U.S. sanction on Venezuela, as traders are still worried about the global economic slowdown. The U.S. Crude Oil WTI Futures that dropped by around 2.5% in the previous session kept the downward trend on Friday and were trading at $52.21 per barrel, down 0.82%.
For today as per the economic calendar the high impact news include Canada’s Employment Change and Unemployment Rate.