Australia’s central bank is set to raise rates, with markets expecting a half percentage point increase. Here’s what to watch in the world of business and finance over the week to July 8
Central banks are front and centre elsewhere, too. The ECB kicks off its bond reinvestment scheme to shield southern Europe's fragile economies; emerging markets' policy-tightening spree will continue; and in Australia, a half-point rate rise is expected.
It's hard to say how long the feel-good effect will last; Citi analysts say the spread-tightening is overdone, and markets have priced already 50 billion euros in bond reinvestments. The test starts now.U.S. data have recently provided more than their fair share of nasty surprises in a sign the Federal Reserve's 150 bps in rate hikes are seeping through the economy.
Traders have dialled down bets on where rates might peak, enabling a tentative equity rally. So, for some on Wall Street, a weaker jobs print may end up being good news.Reserve Bank of Australia Governor Philip Lowe says the choice at Thursday's policy meeting is between a quarter-point rate hike or a half-point one. But markets are not buying it.
A weak Aussie dollar that is boosting imported inflation is contributing to those bets. And remember, Lowe has a track record of talking down rate hike risks, only to capitulate later. With inflation at two-decade peaks, traders are betting on more of the same.This year has tempered a long-held view that EU nations such as Poland and Hungary are part of a lucky fringe within emerging markets.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Five people shot in two Tacoma shootings Sunday nightThese incidents comes a week after multiple shootings in the same area last week.
Read more »
Five things to watch as the Utah Jazz enter summer league playJared Butler, Johnny Juzang, Chet Holmgren, Tacko Fall, and Evan Bradds all bring an element of intrigue to the Salt Lake City Summer League, which starts Tuesday.
Read more »
Crosby, Stills & Nash Is Back on Spotify After Five-Month BoycottIn February, the band asked that their music be removed to support Neil Young in his choice to leave Spotify in the wake of Joe Rogan’s misleading commentary about COVID-19 vaccinations
Read more »
Pac-12 survival guide: Five forces that will define the path to salvation, or extinctionFrom presidential leadership to media partners to state politics, numerous forces will frame the next step for a conference reeling from the departures of USC and UCLA.
Read more »
Five Creative Ways Airlines Are Addressing The Pilot ShortageA shortage of pilots, mostly among the regional U.S. airlines, have caused airlines to try a number of creative approaches to find and keep staff. These include higher pay, more training staff, and even starting a new airline.
Read more »
At Least Five Dead in Highland Park July 4 Parade ShootingAt least five people were killed in a shooting at a Fourth of July parade in the Chicago suburb of Highland Park, Ill. The suspect remains at large.
Read more »