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Holiday time

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  • European markets are generally on holiday, giving politicians a chance to grab the media spotlight in the run up to the taxpayer financed weekend mini- break that is the G7 finance ministers' meeting. US Treasury Secretary Lew has indicated he would like to see G7 growth (as opposed to the alternative, one assumed).
  • Chinese consumer prices picked up to a 2.4% rate, aided by higher food prices (bird 'flu and sick pigs made this relatively inevitable). We see higher inflation in the coming months, but for localised reasons - there should be no regional far less global impact.
  • The Bank of England is expected to do nothing on monetary policy today. The Bank of Korea, however, surprised with a quarter point interest rate cut (citing a need to enhance the recent fiscal stimulus offered by the government).
  • Australia (a recent rate cutter) released some pretty strong employment data. The UK offers industrial production and manufacturing output data, and Spain offers industrial production as well. Otherwise the data calendar is quiet.

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