According to ANZ analysts, global markets traded on little news flow as investors await guidance from central bankers into the end of the week.
Key Quotes
“The FOMC minutes for July, due tomorrow, will provide details leading to the first Fed rate cut in a decade. ECB minutes are due the next day. But the big event is the annual Jackson Hole symposium, which will focus on “Challenges for Monetary Policy”.”
“Powell will speak on Friday and his remarks will be closely monitored for hints that more policy easing is in store, against the backdrop of ongoing trade tension. The next Fed meeting on 18 September is more than fully priced for a 25bp rate cut.”
“Looking ahead, markets are pricing in sizable rate cuts over the next year; 75bp of cuts by early next year and 100bp of cuts by mid-2020.”
Share
