Big movements in bond yields. NAB’s Gavin Friend says there’s an expectation that more central banks will move rate rises forward. Including the RBA?
Start your day with the Morning Call for the latest overnight key economic and market information straight from NAB’s team of expert market economists and strategists.
Former US Treasury Secretary Larry Summers warns that the US is losing control of inflation. The debate is still unresolved says NAB’s Rodrigo Catril, but expectations could become a self-fulfilling prophecy.
Oil hit the highest since 2014. NAB’s Tapas Strickland says OPECs reluctance to up production is a big part of it. Also today, as banks continue to talk about tightening, will Joe bIden finally get some extra fiscal stimulus over the line?
On Friday Jerome Powell says its time to taper, but not raise rates. The labour market needs time to heal, he said. Meanwhile, NAB’s Ray Attrill says positive PMIs at the end of the week show whilst we have inflation, there’s no sign of stagnation.
Inflation concerns are rising, pushing yields higher, whilst China is showing signs of a significant slowdown. NAB’s Rodrigo Catril says the big question is, is it a blip or something more fundamental?
It was an exuberant session on Friday says NAB’s Tapas Strickland driven by US retail sales along with stellar bank earnings, but there are plenty of headwinds which should urge caution, including rate rises being brought forward as inflation fears continue to rise.
With America still off for Thanksgiving, NAB’s Gavi Friend talks turkey on central bank thinking. How much is inflation really pushing for faster tightening – for the Fed, the Riksbank, the ECB and the BoE? https://t.co/Qs75KOcyYo
The US is spending more and income is up, with inflation rising, whilst Europe is still held back by COVID concerns. It’s the perfect storm, says NAB’s Tapas Strickland, pushing the US dollar to its highest level in sixteen months. https://t.co/93jt83lsnU