FEP - July 2024 Monthly
2024-06-30 08:00:00 ET
Summary
- July brings new governments in the UK and France, a new European Commission, and China's Third Plenum session with expected measures to support the economy.
- The US policy mix stands out with loose fiscal policy and tight monetary policy, contributing to the dollar's strength.
- Emerging market currencies faced a heavier bias in June, with the JP Morgan and MSCI emerging market currency indices extending their decline.
July is about the Olympics and reaping what was sown in June. The UK and France will have new governments. There will be a new European Commission. China will hold its Third Plenum session, out of which many expect new measures to support the economy.
The Bank of Japan may announce a plan to reduce its bond purchases, which are approximately the same as the amount maturing every month and hike rates at the end of July. Reducing its JGB holdings is another step in the normalization of Japanese monetary policy....
July 2024 Monthly