Daily FNArena News - FYI

OPEC wants to switch to a basket of currencies while Gulf states are concerned about their greenback pegs.

There is a wealth of US economic data being released this week but it will all be overshadowed by one number – that of the Fed funds rate after Wednesday night.

There was no bad news on Wall Street last night to recover from, so the Dow just went up. Gold took off as well.

The Dow recovered from a 128 point fall to close almost unchanged. No, this is not yesterday’s report.

Economists at ANZ have broken the mould and increased their interest rate expectations from one more likely hike to three more hikes. Consider the November one as a given.

The Reserve Bank of New Zealand has kept official interest rates unchanged but retains its hawkish view given speculation of a fiscal boost from lower tax rates next year.

The Dow pulled back from a 200 point fall to be “unch” after ridiculous rumours of an “emergency” rate cut circulated Wall Street.

Weekly musings from your editor. Why are experts selling their gold exposure? And will the US dollar continue to weaken further?

The Dow closed up over 100 points led by the tech sector, but those gains were already being given up in the after-market following the Amazon result.

Stephen Roach of Morgan Stanley argues the US remains at risk of recession and this will drag down global growth as the de-coupling argument is a fundamental contradiction.