October 29th – Top Stories
- U.S. factory, housing data suggest economy losing steam - Reuters – By Lucia Mutikani
U.S. manufacturing output barely rose in September and contracts to buy previously owned homes recorded their largest drop in nearly 3-1/2 years, the latest signs the economy’s momentum ebbed as the third quarter ended.
The reports on Monday showed economic activity was on weak footing even before a 16-day partial shutdown of the U.S. federal government early in October that is expected to weigh on fourth quarter growth.
- China Stocks Fall as PBOC Cash Fails to Stem Jump in Money Rates - Bloomberg – By Bloomberg News
China’s stocks declined and money-market rates climbed to the highest levels since July as the central bank’s first injection of funds in two weeks failed to alleviate a cash squeeze.
The People’s Bank of China conducted 13 billion yuan ($2.13 billion) of seven-day reverse-repurchase agreements today, according to a statement on its website. That compares with the 102.5 billion yuan drained from the banking system in the last two weeks as existing contracts matured and the monetary authority suspended sales of new agreements at a time when companies need funds to pay tax
3/ Eurozone & UK
- Eurogroup chief Dijsselbloem said to propose adjustment to Maastrictt Stability Pact to give countries more time to correct excessive deficitsg - FAZ – By Von Werner Mussler
Eurogroup’s Dijsselbloem proposed changing budget rules to place conditions on countries that are given more time to meet deficit tgts (cites France as an example)