A chance for the Fed to clear things up a bit
- Three Fed speakers make the calendar today: Dudley, Evans and Williams. After the Fed was less than convincing in its reasons for policy inaction, and after Yellen announced her support for rate hikes, a consistent approach to reduce uncertainty is sought by investors.
- US personal income, spending and PCE deflator data are due for August. This coincides with the start of the market volatility, so wealth effects (or their absence) will be looked for. The core PCE deflator gives a good idea of where the headline PCE will head when oil effects dissipate.
- The UK opposition Labour party has a major economics speech today, at its party conference. Although such events are normally overlooked by investors, there may be more interest ahead of the UK referendum on EU membership as the opposition party's position may have a bearing.
- Spain's regional Catalan elections saw Prime Minister Rajoy's party perform poorly (coming in fifth). With a general election soon, markets may place more emphasis on that. The Catalan separatists won a parliamentary majority (though not a popular majority), creating secession uncertainty.