Global Markets

The initial jobless claims missed the forecast. This is a concern given the current macroeconomic environment.

Given the tightening cycle, market participants turn their attention to tomorrow's CPI release to see if there are signs of moderation.

The European Central Bank (ECB) kept key interest rates unchanged as expected today, but pointed to rate lift-off in July and more hikes ahead, while raising its forecast for this year’s inflation

Our senior market specialists, Nik and Russ, cover much ground this week. Several Fed officials make hawkish statements, with the NFP beat laying a foundation. Other central banks continue to be hawkish, with the BoC and the RBA hiking by 50bps. OPEC+ accelerated its schedule, but the oil market remains tight, and Boris Johnson survives a no-confident vote against him. Finally, the ECB meeting prepares the market for its hiking…

The UK Prime Minister won the no-confidence vote on Monday, with 59% of the Tory MPs voting that they have confidence in their party leader

The Australian central bank (RBA) raised interest rates by 50 basis points today, which is more than baseline expectations and the largest upward adjustment since February 2000

Conservative members of the UK parliament will hold a no-confidence vote in Boris Johnson later today, in the aftermath of the Sue Gray report into the “party-gate”

The NFP beat means that 50bps increases for the next two Fed meets are alive and well.

As we progress through the current rate hiking cycle, unemployment is an essential economic series to monitor.

Eurozone preliminary headline inflation printed at an all-time high of 8.1% YoY for May. This number is higher than the forecast of 7.8% YoY and above the previous month's release of 7.5% YoY. The major contributor was the much higher energy prices due to Russia's invasion of Ukraine. However, it's not the only worry. Food, alcohol and tobacco price also contributed to the blowout figure.

The US 10-year Treasury note has broken out of a falling wedge pattern following hawkish comments by Fed Governor Waller.