ECB
Today, market watchers are focused on the European Central Bank (ECB) and its latest monetary policy announcement.
Market Overview
UK economy
The challenge caused by rising living expenses shows no signs of abating. After unexpectedly moving down in August, inflation in the UK rose again to the 40-year high reached in July, amid political turmoil and cost-of-living crisis.
US CPI
Inflation persists amid a highly uncertain environment and a volatile market. On Tuesday, the IMF published its latest World Economic Outlook Report.
Nonfarm Payroll
The latest US jobs report came out strong, indicating a still tight labor market. This might signal a more aggressive stance on the part of the Fed.
Market Lights – Powell goes on
As expected, the FOMC voted unanimously to raise the target range for the Fed funds rate by 75 basis points, to 3.00-3.25%.
FED
The Federal Reserve announced a third consecutive 75 basis point rate hike yesterday at its September meeting to fight inflation. A three-quarter point rise was highly expected.
US CPI
This week’s main focus is on the US Consumer Price Index (CPI) in August, the last significant figure for the US economy ahead of the Federal Reserve meeting on September 20-21.
ECB
The Governing Council raised the three key ECB interest rates by 75 basis points at its September 2022 meeting, from a 50 bps hike in July.
Nonfarm payroll
The latest official data on employment to assess the labor market situation ahead of the Fed’s September 20-21 meeting.
Euro area PMI
All eyes are on the Purchasing Managers’ Index (PMI), a good indicator of the economic condition amidst a situation where demand is weakening and inflation is skyrocketing.
