The Day Today 13th August 2019

– Singapore cuts its growth forecast, 0-1% from 1.5-2.5% for the full year “partly due to the escalation in the US-China trade conflict…Concurrently, the global electronics cycle has entered a sharper-than expected downswing”
– RBAustralia assistant governor, Kent, says lower rates and concomitant lower A$ are working, “broad-based easing in financial conditions in Australia will provide some additional support to demand” and when questioned “we’re certainly not unemployment rate targeters, we still are inflation targeters”
– Hong Kong’s Carrie Lam says “we have reached this dangerous situation” damaging the economy as protests at the airport continue, shares in China’s Shenzhen airport surge
– America’s national security adviser, John Bolton, says of a No Deal Brexit “we will support it enthusiastically”

US equity markets closed lower, with tech hit particularly hard, it is the sector most vulnerable to the US/China trade war. There are other global tensions, Argentina looks like it may fall back into the grip of populists and the Hong Kong issues continue. Asian equity markets extended the fall

The Week That Will Be

On this day in 1961 the Berlin Wall was constructed

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