Quote:
‘Railroads are the Rembrandts of investment.’ Henry Clay Frick (1849-1919)
The News:
Bradford & Bingley and Fortis nationalised; Wachovia in talks to be bought.
The Numbers:
British Summer Time, with expectations and previous figures in brackets.
00:50 JP August Large Retailers’ Sales –2.2% Y/Y, Retail Trade +0.7% Y/Y, versus –0.7% and +2.0% July.
09:30 GB August Net Consumer Credit (£1B to £1.3B, on Dwellings £1.2B to £3.0B, versus £1.1B and £3.2B July).
09:30 GB August Mortgage Approvals (25K to 32K versus 33K July).
10:00 EZ15 September Business Climate (-0.56 to –0.50 versus –0.33 August).
10:00 EZ15 September Consumer Confidence (-22 to –18, Economic 86 to 88, Industry –13 to –11, Services –1 to 2, versus –19, 88.8, -10, and 3 August).
13:30 US August Personal Income (-0.3% to +0.4%, Spending 0% to +0.5%, versus –0.7% and +0.2% July).
13:30 US August Core PCE (+2.3% to +2.5% Y/Y, Deflator +4.4% to +4.5%, versus +2.4% and +4.5% July).
00:01 GB September GfK Consumer Confidence (-42 to –36 versus –36 August).
The Psychology:
Holidays in China, Israel, Saudi Arabia, Turkey and United Arab Emirates today and Tuesday. Also Bahrain, Egypt, Hong Kong, Kuwait, Malaysia, Oman, Qatar and Singapore Wednesday and Thurs, S. Korea Friday.
The Risk:
Too many hopes resting on the $700B US bailout package.
Today’s most interesting chart: South Korean won/JPY
Weakest since September 2001.
