Good morning, its Thursday March 10th, the 69th day of 2005.
In its regular interest rate policy update, without announcing the reasons why, the Bank of England held rates steady, now for the seventh month in a row.1
Yesterday’s Beige Book – a collection of anecdotes and evidence from Federal Reserve districts around the US – provided no real surprises although it does appear to underscore the possibility that inflation may be a bigger challenge to control than has been hinted at by the Fed in the past. (Release)
Economy expanding nicely, Fed says—Beige Books finds some evidence of price pressure
“The big picture for inflation is still benign, but the rumblings get a little louder with each succeeding Beige Book,” said Steve Stanley, an economist with RBS Greenwich Capital.
“Bottom line: The economy is not slowing down—if anything, momentum may be building. Inflation is not accelerating out of control, but the Fed’s projection of stable core consumer price inflation over the next 2 years is looking more and more like wishful thinking,” Stanley said.
US Jobless Claims hit their highest level in 2 months, nudging the 4 week average of claims up slightly from last weeks level which was the lowest in 4 years.
This evening Fed Chairman Greenspan and Governor Bernanke both speak, in the case of the latter on a subject of immediate importance to Dollar watchers everywhere, as tomorrow at 8:30 am ET we get the latest figures on international trade and current account deficit.
US Market Calendar
7:00 am: BOE Announcement1
8:30 am: Initial Jobless Claims – Mar. 5th week2
10:00 am: Wholesale Trade – Jan.
2:00 pm: Treasury Budget – Feb.
4:30 pm: Money Supply
6:15 pm: Federal Reserve Chairman Alan Greenspan to speak to the Council on Foreign Relations, topic: Globalization
8:00 pm: Federal Reserve Governor Ben Bernanke speaks to the Virginia Association of Economists, topic: U.S. current account gap
Canadian Market Calendar
8:30 am: Labour Productivity – Q4
8:30 am: Capacity Utilization – Q4
2-year bond auction announcement
Earnings and the Federal Reserve
For earnings highlights, please see today's WSJ Earnings Calendar.
For a list of upcoming speeches, congressional testimony, Federal Open Market Committee material, and statistical releases, please visit the What's Next page of The Federal Reserve Board website. Recently released Federal Reserve Board material, including market moving FOMC decisions and speeches by members, will be found on their What's New page.
1 BoE holds off on rates rise for now
2 U.S. Initial Jobless Claims Rose 17,000 Last Week to 327,000
05.03.10 08:50 #