Quote:
‘I expect you’ll be becoming a schoolmaster, sir. That’s what most of the gentlemen does, sir, that gets sent down for indecent behaviour.’ Evelyn Waugh (1903-1966)
The News:
Taylor Bean, 12th largest US mortgage lender, told by FHA to cease all lending immediately.
The Numbers:
British Summer Time, with expectations and previous figures in brackets.
04:45 JP auction result of 600B 30-year JGB: average yield 2.315%; stop 2.319%; bid-to-cover ratio 3.27.
06:00 JP June Leading Composite Index 79.8, Coincident 87.8, versus 76.9 and 87.1 May.
06:45 CH Q3 Consumer Confidence –42 versus –38 Q2.
11:00 DE June Factory Orders (-2.2% to +5.0% M/M, -28.0% to –23.3% Y/Y, versus +4.4% and –29.4% May).
12:00 GB Bank of England MPC interest rate decision (unanimously expected unchanged at 0.50%).
12:45 EZ16 ECB interest rate decision (unanimously expected unchanged at 1.00%); 13:30 news conference.
13:30 US Weekly Jobless Claims (550K to 600K, Continuing Claims 6150K to 6400K, vs 584K and 6197K prior week).
13:30 CA June Building Permits (-11.8% to +2.0% M/M versus +14.8% May).
The Psychology:
Bernanke says bank supervision and consumer protection should not be separated.
The Risk:
Shuffling markets as we wait for tomorrow’s US Non-Farm Payroll number.
Today’s most interesting chart: Nymex Heating Oil
Highest since November, almost $2 per gallon.
