Who will rid me of this troublesome search engine?
- US President Trump suggested displeasure at the results of Google's search engine. Economic adviser Kudlow suggested regulation was being "looked into". Why do economists care? Aside from the fact that Google needs to give greater prominence to my research in search results, rule of law is vital for productivity and investment. One tweet does not change the US, but targeted attacks create uncertainty.
- The interminably tedious process of separating the EU and the UK seems likely to be a little more interminable. News reports suggest an October deal is unlikely and November is now being looked to. This last-minute negotiation is not exactly unheard of in EU discussions.
- France and the US revise their GDP. French data will be reported in year-on-year terms. US data will be annualized (which tends to exaggerate the moves). The data will be revised significantly in the coming months, of course. The US price data should be consistent with the Fed continuing to raise rates.
- Background noise in markets includes the Canadians negotiating about whether or not to join the not-NAFTA deal. The Turkish lira continues to weaken, but markets still seem content to regard this as a local rather than a systemic issue.