- US economic growth shot to an annualised 4.1% in the June quarter but the market is questioning whether this is sustainable.
- The impact of US and Chinese tariffs has been noticeable in Asian export growth but US manufacturing activity is yet to be hit hard.
- In Australia, the RBA continues to keep rates on hold with tighter credit conditions and lower house prices constraining the household sector.
- Japan’s economy likely returned to growth in the June quarter, with wage growth helping to alleviate deflationary pressures.
- The UK is heading towards a ‘hard’ Brexit, with the EU rejecting Prime Minister May’s proposed customs plan.
- US core consumer prices lifted in line with the Fed’s 2% inflation target,vindicating June’s rate hike.
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