Today’s employment data from Australia was a disappointment. Employment growth is slowing from its previously strong rate, and there is still little sign of a pick up in wage growth.
PBOC to inject 190bn in OMOs today through reverse repos – In the 7-dayers
Brainard in Washington – Warns of growing pro-cyclical pressures, including rising asset prices and leverage – Too early to revisit bank capital rules – Appropriate to require banks to build a counter-cyclical capital buffer She managed to make a speech about bank capital into something moderate hawkish. That’s an accomplishment.
Sam Woods is deputy governor of the Bank of England, and head of the Prudential Regulation Authority Speaking in the UK parliament: – 5,000 to 10,000 UK finance jobs at risk on Brexit day one
Comments from Cunliffe in Washington He’s not scheduled to speak for another 3 hours but a reporter might have caught him on the sidelines.
Williams sure is talking a lot lately – In the context of strong labor market, wage growth and stable inflation he sees continued rate increases – Expects new normal for the Fed’s balance sheet to be around $3 trillion Williams is the second Fed member within an hour to talk about higher deficits and debt steepening…
BOJ’s Kuroda speaking Washington He adds:
Evans speaks with reporters – If inflation rises faster than expected, it’s a sign of a stronger economy that can withstand more hikes – Says he will be reviewing his estimate of the neutral rate We hear so often from Evans that he’s rarely a market mover but he’s a good guy to listen to…
Draghi out with some comments in an IMFC statement – Growth momentum is expected to continue – Ample degree of monetary stimulus remains needed – Patience, persistence and prudence needed There’s a bit of everything here but it reads dovish to me.
BBG report – The officials want more time to assess the recent slowdown – Said to have no talks on interest rate path after QE The euro quickly fell to a session low of 1.2250 on the headlines but has bounced back to 1.2267.