NEWSFEED HIGHLIGHTS

Inflation data from the Bureau of Labor Statistics appeared to offer some solace for the doves on the FOMC.

Headline CPI rose an in-line 0.1% m/m in July, rebounding from the 0.4% decline seen last month. On the year, the index slipped a tenth to 3.4%, also matching estimates. Core CPI increased 0.2% m/m, following a flat June reading, while the annual rate eased to 2.5% from 2.6%. Both figures were in line with forecasts.

The BLS said shelter costs rose 0.1% in... 

Fed officials who backed a rate hike at July’s FOMC meeting argued that monetary policy was not restrictive enough to bring inflation back under control. Wednesday’s report from the Bureau of Labor Statistics may offer some indication of whether they were right.

Headline CPI is forecast to rebound 0.1% m/m in July following a 0.4% decline in June, while the annual rate is expected to ease a tenth to 3.4%. Core CPI is seen rising 0.2% m/m, with the year-on-year rate... 

The euro area economy appears to be weathering the energy shock better than expected, according to the first estimate of second-quarter GDP from Eurostat.

Preliminary figures showed the economy expanded 0.4% q/q in the three months to June, double the consensus forecast and rebounding from an upwardly revised flat reading in Q1 (previously reported as a 0.2% contraction).

On an annual basis, GDP grew 1.0% y/y, three-tenths above expectations and well ahead of the... 

The Bank of England left interest rates unchanged on Thursday, as widely expected, but policymakers struck a more hawkish tone, fuelling speculation that the next move could yet be higher.

The Monetary Policy Committee voted 6-3 to leave the Bank Rate at 3.75%, in line with expectations.

However, there was a notable shift in the voting pattern, with Catherine Mann joining Megan Greene and Huw Pill in backing a 25 basis-point increase to 4.00%.

In its...