Quote:
‘Money is like a sixth sense without which you cannot make a complete use of the other five’. W. Somerset Maugham (1874-1965)
The News:
US Fed’s Pianalto and Dudley say conditions in capital markets have improved recently.
The Numbers:
British Summer Time, with expectations and previous figures in brackets.
08:00 CH Swiss National Bank’s vice-chairman Hildebrand speaks at a capital markets conference, Montreux.
08:15 CH May CPI (+0.1% to +0.4% M/M, -1.0% to –0.7% Y/Y, versus +0.9% and –0.3% April).
08:50 PL ECB’s Trichet speaks at an event marking 20 years after the fall of communism, organised by the National Bank of Poland, Warsaw. Norges Bank governor also speaks.
09:30 GB May PPI Input (+0.2% to +1.5% M/M, -8.7% to –4.1% Y/Y, versus –1.0% and –5.0% April).
09:30 GB May PPI Output (+0.2% to +0.7% M/M, -0.6% to +1.0% Y/Y, versus +0.6% and +1.2% April).
13:30 US May Non-Farm Payrolls (-600K to -450K, Unemployment 9.1% to 9.4%, versus -539K and 8.9% April).
13:30 US May Hourly Earnings (0% to +0.2% M/M, Workweek 33.1 to 33.3 hours, vs +0.1% and 33.2 April).
13:30 CA May Employment Change (-70K to –20K, Unemployment 8.1% to 8.2%, versus +35.9K and 8.0% April).
19:15 US Fed’s Kohn, Rosengren and Yellen speak at a panel discussion, Washington.
20:00 US April Consumer Credit (-$9.0B to +$1.5B versus +$11.1B March).
The Psychology:
Surely the economy must be improving because everyone says so.
The Risk:
‘Protest’ vote the feature of EU parliamentary elections.
Today’s most interesting chart: Benchmark US 5-year TNote yield
Pushing up into the apex of the corrective ‘wedge’ formation that has dominated this year.
