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NEWS: Australia’s central bank cut its policy rate 25 basis points to a record 2.5 percent. The French government needs to continue freeing up its labor market and avoid new taxes, an IMF staff report said. To read more, click here.
NEWS: Silvio Berlusconi lost his final appeal against a tax-fraud conviction. U.K. growth forecasts for this year and next were rasied by Niesr. Australia’s government cut its growth estimate for this fiscal year to 2.5 percent from 2.75 percent seen on May 14 and said the 2015-16 budged will no longer be in balance. To read more, [...]
NEWS: The Fed warned of persistently low inflation and pledged to keep buying $85 billion in bonds a month. China’s manufacturing PMIs gave a mixed picture. Europe’s leaders should brce for four more years of unbendig German policies, a senior lawmaker said. To read more, click here.
NEWS: China’s Politburo pledged to stabilize growth while pressing on with economic reforms. Silvio Berlusconi’s prosecutor asked judges to ease the maximum sentence. The $20 billion potash market is set to be freely traded after Uralkali, the biggest supplier, decided to end production restrictions that underpinned prices. To read more, click here.
NEWS: Italy’s central bank extended asset quality inspections started last year on eight of 20 banks. Japan’s industrial production fell in June by the most since March 2011. Australian central bank Governer Glenn Stevens said there’s still room to lower interest rates. To read more, click here.
NEWS: Japan consumer prices rose the most since 2008 in June. China ordered more than 1,400 companies in 19 industries to cut excess production capacity. Former ECB chief economist Juergen Stark told Handelsblatt there’ll be “a lot of pressure” from France to buy its government bonds, even without applying for a bailout. To read more, click here.
NEWS: German Vice Chancellor Philipp Roesler ruled out another debt cut for Greece. German companies are the most pessimistic in more than a year on the euro. See page 3. Anglo Irish Bank will have 3 billion euros less to repay creditors. A train derailment in northern Spain killed at least 60 and injured more [...]
WHAT TO WATCH: The euro-area PMI for July may show a slower pace of contraction. 9 a.m. (See chart below.) Euro-area finance officials hold conference call on Greek bailout. TBA. ECB publishes bank lending survey. 9 a.m. Portuguese Prime Minister Pedro Passos Coelho’s new Cabinet will be sworn in at 4 p.m. To read more, click here.
NEWS: Chancellor Angela Merkel pledged to keep Europe whole. The Fed will trim its monthly bond buying in September, a Bloomberg survey shows. China’s government sees 7 percent growth as the bottom line. To read more, click here.
G-20 news: G-20 nations will pursue “carefully calibrated and clearly communicated” policy so the U.S. and Japan don’t spook markets when they roll back stimulus. Finance ministers advised Europeans to move away from budget-cutting and toward growth. To read more, click here.