The Day Today

The Day Today, 11 Sept


* Obama: Asks Congress to postpone a vote on military strike on Syria; Orders military to maintain its position to keep pressure on Assad; US is not the world’s policeman   {NSN MSY2H76TTDS1 <go>}

* France: Draft to UN Security Council to give Syria 15 days to declare chemical weapons

* WSJ: Obama Rescues Assad


* Wholesale prices +2.4% YoY, highest since Nov 2008

* Q3 BSI large manufacturers sentiment 2nd highest in 10yr history of survey

* BOJ Ishida: Growth will exceed potential even after sales tax rise; Winning Olympics will boost confidence  {NSN MSY72Z6JIJUO <go>}


* Fitch affirms ESM at AAA [remember when mkt used to follow this as sign of EU break-up!]

* Verizon massive $49bn bond issue expected to price today – how will it go compared to Apple’s issuance 4 months ago, with tapering on the cards, and Verizon a much more leveraged company? 10yr portion expected at Tsys+225bp  {NSN MSXKUW1A74E9 <go>}

The Day Today 9 Sept

  • Chinese Premier Li writes in FT – ‘China will stay on the path of reform…we can no longer afford..the old model of high consumption and high investment’ and that 7% growth is the “lower limit” to ensure steady growth and employment
  • Guardian: John Kerry careful not to rule out return to UN for Syria resolution


  • Tokyo wins 2020 Summer OIympics
  • Japan Q2 GDP revised up to 0.9% QoQ, 3.8% YoY vs 0.6/2.6 prior
  • Econ Min Amari: Revised GDP supports tax hike, Abe decision due Oct 1



The Day Today 3 Sept

* RBA keep rates unch at 2.5% but omit the phrase “inflation outlook could provide some scope to ease policy further”. AUD rallied 50pts as this considered ‘not dovish’ although better to say it’s neutral ahead of the general election

* AUD retail sales +0.1% MoM vs +0.4% exp and flat prior

* AUD C/A wider at -9.4Bn vs -8.5bn exp and -8.7bn prior

* Japan monetary base +42%, cash earnings +0.4% shows Abenomics working

* Amari: Abe wants to see Tankan before making sales tax decision {NSN MSJF4F1A1I4I <go>}

* Nikkei: BOJ Mulls Upgrading Economic Assessment

* UK retail sales +1.8% YoY vs +2.4% exp and 2.2% prior

* SCMP: Shanghai free-trade zone to launch later this month

* Microsoft to buy Nokia’s mobile phone unit in all cash Eur 5.44bn deal; will use overseas cash resources to fund it {NSN MSJFX46JTSFL <go>}

The Day Today 28 Aug

* WPost: U.S. intelligence has established timeline of Syrian chemical attack, officials say
* Fox: Any U.S. strike against Syria likely to last ‘hours not days’

* Indian companies complain rupee collapse means they can’t plan more than a couple of months ahead. “How can a business operate when the currency is on a free-fall?” says CEO of Videocon Industries
* Indonesia to hold extra central bank meeting on Aug 29

* Yellen’s finances disclosed – ‘$4.8mm to $13.2mm’- vs Summers 2009 disclosure of $7.9mm-$31.7mm
* Steve Beckner: Resignation to Summers Chairmanship Sets in at Fed
* RTRS: White House not yet vetting Yellen for Fed chair

* BoC’s Murray: Ending stimulus should be seen as a positive development

* China Should Raise Deposit Rate Ceiling, Widen CNY trading band, PBOC Official Writes {NSN MS7UAP6K50Y2 <go>}

* Abe adviser Hamada: sales tax increase should be postponed by 1yr, and then only by 1% per yr. Increasing spending or QE to smooth its passage makes no sense as it’s intended to repair Japan’s fiscal balance {NSN MS6QZG6JIJV2 <go>}

* RBA’s Edwards tells WSJ: AUD too high and needs to fall further

* France unveils pension reforms. 43 years of work to be required before receiving state pension  {NSN MS7AGN6JIJVW <go>} FT {NSN MS7D253H0JK0 <go>}
* Merkel electioneering continues: Greece should never have been allowed in the euro

* Ahead of his speech at 13:45 LDN today – The Times: Mark Carney staying firm on rock-bottom rate
* “The BoE will lose control of inflation and 1980s mass unemployment will return” Andrew Lilico in the Telegraph