Five Things You Need to Know to Start Your Day: Europe
Get up to speed with what the markets are monitoring
Good morning. We have a UK data dump as traders walk back bets on Bank of England policy easing. Later today, the US inflation print comes next. And Joe Biden faces mounting pressure to withdraw from the presidential race. Here’s what people are talking about.
There’s a lot to digest for traders trying to weigh when the BOE will start its easing cycle. Catherine Mann — the most hawkish of the nine members of the Monetary Policy Committee — hinted that she is not ready to back interest rate cuts, warning of a resurgence in UK inflation and rapid increases in services prices. Earlier, Chief Economist Huw Pill also signaled his reluctance to ease policy too early, saying the timing of a move is still an “open question.” Traders trimmed bets on a quarter-point rate cut at the BOE’s August decision. A slew of UK economic data due today may offer investors more clues. For market implications, read musings (below) from Mary Nicola.