Friday 15th January 2021
Bond yields were already on the rise before Fed chairman Jerome Powell talked down the likelihood of any easing in bond purchases this year. NAB’s Gavin Friend says he indicated the Fed would look through any short-term rise in inflation as a reason to make changes. This has added to positive market sentiment today, despite a disastrous rise in US jobless claims, up from 784k to 965k in one week. There’s also discussion today on the ECB minutes, German GDP, NAB’s payments data and an exodus from the UK. Today, all eyes will be on what Joe Biden has to say. It’s a busy first week back!