Quote:
‘It was, of course, a miserable childhood: the happy childhood is hardly worth your while.’ Frank McCourt (1930-2009)
The News:
US Senate approves another $2B in ‘cash for clunkers’ programme.
The Numbers:
British Summer Time, with expectations and previous figures in brackets.
02:30 AU Q3 Reserve Bank of Australia Monetary Policy Statement: revises up growth and long term inflation.
06:45 CH July Jobless 3.90% versus 3.8% June.
07:00 DE June Trade Balance, Current Account, versus +€9.6B and +€3.7B May.
09:30 GB July PPI Input (-2.2% to +0.9% M/M, -14.3% to –10.6% Y/Y, versus +1.5% and –11.0% June).
09:30 GB July PPI Output (-0.4% to +0.3% M/M, -2.1% to –1.5% Y/Y, versus –0.2% and –1.2% June).
11:00 DE June Industrial Production (-2.5% to +3.5% M/M, -20.8% to –15.5% Y/Y, versus +3.7% and 17.9% May).
12:00 CA July Employment Change (-40K to +15K, Unemployed 8.7% to 9.0%, versus –7.4K and 8.6% June).
13:30 US July Non-Farm Payrolls (-400K to -250K, Unemployed 9.6% to 9.8%, versus -467K and 9.5% June).
13:30 US July Hourly Earnings (0% to +0.2% M/M, Workweek 33.0 to 33.1 hours, versus 0% and 33.0 June).
15:00 CA July Ivey Purchasing Managers (48 to 59 versus 58.2 June).
20:00 US June Consumer Credit (-$11.9B to -$2.2B versus -$3.23B May).
00:01 GB Treasury Select Committee Report on mortgage finance and arrears.
The Psychology:
Bank of England adds another £50B with which to buy Gilts.
The Risk:
Markets, companies and families get hooked on financial handouts.
Today’s most interesting chart: Long Gilt future
Massive intra-day moves as prices base against Fibonacci retracement support and break above trendline resistance.
