Remarks by BOE policymaker, Jonathan Haskel
– That is the case for the foreseeable future
– Immense support might have helped economy avoid deep scarring
– Risk of preemptive monetary tightening continues to outweigh the risk of temporary period of above-target inflation
The last line pretty much tells us where he stands and that somewhat contrasts with the remarks

10-year Treasury yields fall by close to 5 bps to 1.25%
The brief retreat early last week proved to be nothing more than what the name suggests as the series of lower highs and lower lows continues for Treasury yields.

Latest data released by Eurostat – 19 July 2021
Overall, this reaffirms a gradual improvement in the construction sector though the road is still bumpy with supply chain disruptions a key risk to watch.

Oil production output levels are on the agenda for this weekend meeting following last week’s agreement between Saudi Arabia and the United Arab Emirates:
The previous OPEC+ meeting finished, after being extended for 3 days to try to reach a resolution, without an agreement. The differences boiled down to the United Arab Emirates seeking an increase in its

Forex news for New York trade on July 16, 2021:
Markets:
– Gold down $18 to $1810
– US 10-year yields down 0.2 bps to 1.295%
– WTI crude oil down 18-cents to $71.41
Retail sales were much stronger than expected and the strength was broad-based but the FX market largely cast the report aside after an initial pop in

Closing changes for the main North American indexes
I think the chart to watch is the Russell 2000. It’s been consolidating since late January and this is the worst weekly close in the index since then. The intraday lows narrowly below here are probably what matters though. If those crack, we could be in for a

CFTC positioning data
One of the big theories on the drop in Treasury yields in the past month or so is that it was a big squeeze on shorts.
If so, it might be over.

Keep on knocking and they’ll eventually let you in
Cable is down 63 pips to the low of the session at $1.3765. That’s the worst level of the week and it will leave GBP/USD just above the cluster of lows that stretches down to 1.3731.

Looks like we
Barring an incredible turnaround, it looks like we’re going to close on the lows of the week in US equities.
The S&P 500 is down 26 points to 4334.

Forex news from the European trading session – 16 July 2021
Headlines:
Markets:
– NZD leads, JPY lags on the day
– European equities mixed; S&P 500 futures up 0.2%