This site is part of the Informa Connect Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 3099067.

IGM | Informa Global Markets
IGM on LinkedIn
Start free trial today
Menu
Free trial

CEEMEA OPEN: Empty pipeline extends into mid-week

  • The Dollar continued to weaken overnight, falling to a fresh 7.5mth low of 101.310, before bouncing up a touch, after Fed's Bowman said that should incoming data continue to show inflation moving "sustainably" towards the 2% target, "it will become appropriate to gradually lower the federal funds rate to prevent monetary policy from becoming overly restrictive."


  • He added that rates would also be brought "gradually lower" as part of policy normalization to prevent rates from being "overly restrictive".


  • Turning to the markets, S&P initially hit a five week high but ended 0.2% lower while the related futures are up 0.2% ahead of the EZ open.


  • Asian indices are softer in late trade led by a 1% decline in Hang Seng to a 6 day low.


  • Brent futures are a fraction softer but above Tue's 2 week nadir.


  • Sep24 Bunds changed hands at a 6 day high at 134.80 overnight (+17 ticks) vs a 15 day best at 135.17 .


Fresh in the CEEMEA Pipeline

  • No new deals in the pipeline.


On the Radar

  • The pipeline remains empty, as it has done over the last two weeks, as we enter what is traditionally one of the slowest months of the year.


  • Going forward into August, we can expect to see the odd deal, but ultimately primary prospects are set to remain limited during the summer holiday.


Priced Deals

  • No new priced deals.


What to watch on Wednesday

  • In CEEMEA, the main event today will be the South Africa's inflation print (08GMT), which we forecast will ease to 4.80% y/y in July from 5.10% y/y prior, which would signal price growth will anchor to the SARB's 4.5% target within the next month/s, opening up discussion on rate cuts in 4Q (preview here).
    • Elsewhere, there is a heavy data slate scheduled for Poland on Wednesday, including July Avg Gross Wages, Employment, Sold Industrial Output and PPI (all at 08GMT). Russian July PPI is also due at 16GMT.
  • In the US, MBA Mortgage Applications (11GMT) and the Fed releases the minutes to the July 30-31 meeting (17GMT).


  • Central bankers scheduled to speak today include the ECB's Panetta.


Wider market Sentiment

  • USD Index at 101.496
  • UST 2yr/10yr at 3.987%/3.809%
  • Bund 2yr/10yr at 2.398%/2.211%
  • Brent at $77.06/brl


---- Subscribe to read more ----

To receive this analysis plus much more, subscribe to IGM. Request your free trial of the service today.

Request free trial