European shares drop as policymakers seek to tame hot inflation
European shares dropped on Monday, while bond yields surged as comments from central bank policymakers heightened fears of aggressive measures to stamp out inflation amid rising risks of a recession.
Morning Bid: Yuan, euro and pound head down the Hole
Global central banks are scattering again, propelling a resurgent U.S. dollar to its highest in almost two years against China’s yuan and back through parity against the euro.
GLOBAL ECONOMY Factories squeezed by higher prices, weak demand
Factories across Asia and Europe struggled for momentum in July as flagging global demand and China’s strict COVID-19 restrictions slowed production, surveys showed on Monday, likely adding to fears of economies sliding into recession.
ECB to join rate hike club with big move under discussion
The European Central Bank will raise interest rates for the first time in 11 years on Thursday with a bigger-than-flagged move seen as increasingly likely as policymakers fear losing control of runaway consumer price growth.
Euro holds near 2-week high, awaits ECB and Nordstream clarity
The euro held near two-week highs versus the dollar on Wednesday on expectations of a bigger ECB interest rate increase this week than earlier anticipated and a Reuters report that a key Russian gas pipeline would reopen on time after maintenance.
Stocks fall, dollar gains as U.S. inflation prompts 100 bps hike bets
European shares dropped in early trading on Thursday and the safe-haven dollar was up after the latest red-hot U.S. inflation reading increased investor caution about Federal Reserve rate hikes.
If history repeats itself, equities set for brief relief in July
If history is any indicator of the future, the first two weeks of July could bring relief to investors after a bruising first half of the year.
Recession fears creep into ECB thinking at summer conference
European Central Bank policymakers put on a brave face at their annual gathering in the hills above the Portuguese capital and forecast further economic expansion despite looming gas shortages, but in private conversations recession fears were increasingly dominant.
Analysis: Up-ended global LNG markets deepen Australia’s power woes
Top liquefied natural gas exporter Australia is in the depths of a power crunch just as traditional buyers are scrambling to meet shortfalls of Russian gas and winter takes hold Down Under.
Analysis: Nerve-racking week leaves bond investors calling for fast rate hikes
A series of surprise actions by some of the world’s largest central banks fretting about runaway inflation has left bond investors battered. Now, a growing chorus of investors is calling on policymakers to move fast to end the uncertainty.
