News:
US: Wed fed minutes were very hawkish. We will see faster rate liftoff, 3 rate hikes are anticipated for 2022.
"A few participants raised concerns that a recently flat yield curve could adversely affect interest margins for some financial intermediaries, which may rise financial risks." - They are practically saying that we may come into the recession.
Most of the participants prioritize raising rates against balance sheet runoff.
They also said that the covid is less of a concern now.
Today's Job report is worse than expected, giving some hopes for the delay of Feds tightening policy. We saw some dip buying on equities today, but I think it will be very short-lived. - Fed is too late, they'll have to accelerate their tightening policy.
Yields are surging a lot now, making new highs - capital flows are flowing to the less risky assets. - Risk-off
UK: Businesses in the UK see year-ahead output price inflation at 4.5% in the three months to December, up from 4.2% in November, the Bank of England's (BOE) Decision Maker Panel (DMP) survey revealed yesterday.
Data: UK Construction PMI (Dec) 54.3 54.0 55.5
US Nonfarm Payrolls (Dec) 199K 400K 249K
Unemployment Rate (Dec) 3.9% 4.1% 4.2%
Average Hourly Earnings (MoM) (Dec) 0.6% 0.4% 0.4%
Participation Rate (Dec) 61.9% 61.9%
Private Nonfarm Payrolls (Dec) 211K 365K 270K
US: Wed fed minutes were very hawkish. We will see faster rate liftoff, 3 rate hikes are anticipated for 2022.
"A few participants raised concerns that a recently flat yield curve could adversely affect interest margins for some financial intermediaries, which may rise financial risks." - They are practically saying that we may come into the recession.
Most of the participants prioritize raising rates against balance sheet runoff.
They also said that the covid is less of a concern now.
Today's Job report is worse than expected, giving some hopes for the delay of Feds tightening policy. We saw some dip buying on equities today, but I think it will be very short-lived. - Fed is too late, they'll have to accelerate their tightening policy.
Yields are surging a lot now, making new highs - capital flows are flowing to the less risky assets. - Risk-off
UK: Businesses in the UK see year-ahead output price inflation at 4.5% in the three months to December, up from 4.2% in November, the Bank of England's (BOE) Decision Maker Panel (DMP) survey revealed yesterday.
Data: UK Construction PMI (Dec) 54.3 54.0 55.5
US Nonfarm Payrolls (Dec) 199K 400K 249K
Unemployment Rate (Dec) 3.9% 4.1% 4.2%
Average Hourly Earnings (MoM) (Dec) 0.6% 0.4% 0.4%
Participation Rate (Dec) 61.9% 61.9%
Private Nonfarm Payrolls (Dec) 211K 365K 270K