Daily FNArena News - FYI

It’s inflation week in Australia as Tuesday sees the release of the march quarter CPI which should influence the RBA’s rate decision next month.

The Chinese economy is still proving a runaway train, leading to fears of more drastic containment measures from the government.

The Dow reached its highest ever close last night, unconvincingly signalling a shake off of sub-prime, carry trade and earnings fears.

Weekly musings from your editor.

March inflation in the US was less than expected, but the Bank of England has been asked to “please explain”.

Forecasts for the Australian dollar against the US currency are being revised higher as conditions remain in favour of further gains.

The release of the New Zealand CPI is usually a precursor to inflation indicators in Australia.

An Aussie dollar above US$0.82 is a rare occurrence but specialists at Deutsche Bank and Commbank see higher highs in the coming weeks.

ANZ Bank notes the recent spate of mergers and takeovers in the Australian market is positive for the currency as overseas buyers must also buy Australian dollars to complete their acquisitions.

Due to persistent technical problems there will be no weekly editorial today.