WTI rising to $85, no coincidence it is the 4th consecutive week of growth in the US SPR and Saudi cuts in production
Bank of England's chief economist Huw Pill issues warning over interest rate rises
US AUGUST ISM FACTORY INDEX RISES TO 47.6 FROM 46.4; EST. 47 - BBG *US AUGUST ISM PRICES-PAID INDEX RISES TO 48.4 FROM 42.6, stronger, Construction Spending 0.7%, Exp. 0.5%, Last 0.6%, and NFP a little stronger than expected too (back to normal levels, after a frantic turnover last 2-3years), Fed's Mester was also a little more hawkish earlier, and just like that 10's UST turned around from 4.05 to current 4.18 in the long-end (supply..)
Congress poised for messy September as McCarthy races to avoid government shutdown >> just as...US National Debt has now increased by $1.45 trillion since the debt ceiling was suspended 3 months ago and is fast approaching $33 trillion. In the past five years the national debt has increased by 53%, from $21.4 trillion to $32.9 trillion
ECB’s Wunsch cites persistent inflation to back the need to “do a little bit more”
China says the best way to 'de-risk' is to restore stability with the U.S-it will help! >> Xi Vows to Continue Opening Up Market, on Own Terms - Bloomberg
The lithium mining process requires vast amounts of fresh water, causing fear among the locals - Video below
Turkish Inflation Nears 60%, Piling Pressure On Central Bank - BBG
UK chip designer Arm ‘cuts target valuation before Nasdaq listing’. Company said to be eyeing $50bn-$55bn compared with $64bn its owner Softbank stated last month
Markets :
China wobbled, as usual China reacted and pressed on with plenty of new credit and cuts, U.S risks yet another gov shutdown towards the end of Sep, financial risk far too low, business cycle no more, whole new 'kind' of economy, as few Central Bankers talked about at Jackson Hole, Powell focused on employment. Interest rates likely to remain high for longer, consumer spending clearly depends on strength of job market
Crude : highest weekly close in a long while
CROSSJPY's rally again together with long-end yields
BONDS, steeper curve, long-end struggling, supply etc and more drama on debt ceiling coming
Equity markets hanging in there, valuation overall too high, rates to remain high for longer, clear stock picking market, it's not all good or all bad! * U.S markets close today
Congress poised for messy September as McCarthy races to avoid government shutdown | CNN Politics >>> more drama no doubt
Not again please!
have a great start to the week
Team PVM