Markets this week will travel a nerve-laden virtual journey around global venues for two central bank policy meetings, a critical Brexit vote and one of the most anticipated leaders’ summits in years. David Pollard reports.
In the battle for global headlines, Singapore is likely to be this week’s clear winner.
Venue for a summit that will put Donald Trump’s deal-making skills to the test ….
As he tries to pressure – or coax – North Korean leader Kim Jong Un to give up nuclear weapons.
“Any sign that progress is being made towards a deal that perhaps we’re seeing increase in economic ties between the two Koreas should be taken as a positive.”
Asia’s island city state will have competition ….
From no less than Riga, capital of Latvia.
Policymakers are likely to debate whether to end bond purchases later this year, as the central bank moves to tighten.
On Wednesday, it’s Washington’s turn for the spotlight …
The Fed’s FOMC is seen set on a second rate hike this year.
“That is I think broadly anticipated by the market. So the critical issue is what will the statement say that accompanies such a rate hike. Will it lead to the possibility of further rate hikes this year which I expect or will it have some other agenda to discuss monetary rates and the U.S. economy?”
And on Tuesday, London competes for attention.
“There have been concerns that the soft approach that Mrs May has been following, giving concessions to the EU, may eventually lead the Brexiteers to challenge and ultimately to call for a leadership election.”
That, he said, would be a “a very, very good thought.”
One that may this week also be put to the test.