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Thursday, July 18

18th Jul - #4140



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EUROPE
Stronger legal framework is not enough to foster national compliance
– voxeu
In 2011, the EU introduced stricter rules to monitor the implementation of country-specific policy recommendations. Using a new dataset, this column investigates whether these new laws have increased national compliance. There is no evidence that these stricter processes matter for implementation rates, whereas macroeconomic fundamentals and market pressure are important determinants of implementation progress.

Merkel and Macron Carried Off Their Trick, Barely – BB
Ursula von der Leyen won the presidency of the European Commission, but faces a bumpy road ahead.

Deutsche Bank Still Faces an $83 Billion Question – BB
The ECB is right to support the German giant’s downsizing plan, but it will need to keep a close eye on the sale of assets from Deutsche’s “bad bank.”

Angela Merkel’s Chosen Successor Goes All In – BB
Annegret Kramp-Karrenbauer’s decision to take on the defense portfolio is a high-stakes political gamble.

Macroprudential policy at the ECB – ECB
Institutional framework, strategy, analytical tools and policies

Phillips curves in the euro area – ECB
The Phillips curve is still a valid policy instrument once it is robustly estimated


UNITED STATES
Why the Fed will still cut, despite stronger data – ABN AMRO
Rate cuts are about risk management, not current conditions


OTHER
Rebalancing the Global Economy: Some Progress but Challenges Ahead – IMF

Trump's Tariff Deal Comes Down to a Coin Flip – BB
A German minister puts the chances of an EU-U.S. agreement at 50%. Others are even more optimistic, though the scope of a deal would be limited.

China Is the Biggest Protectionist Threat – BB
Even before Trump, the country was pursuing a go-it-alone economic strategy that had little use for trade.


REGULARS
Five Things to Start Your Day Asia – BB

Eco Day Asia – BB
Fed's Happy Outlook, China Balanced, Top Central Banks * Indonesia’s finger is on rate trigger ahead of key Fed meeting * Terms of Trade: U.S.-Japan talks set to heat up and get messy

Five Things to Start Your Day Europe – BB

EU Open Rundown – RANsquawk

FirstFT Daily Briefing – FT

Brussels Briefing – FT
Europeans line up candidates to lead the IMF: Powerful emerging economies want to break Europe's stranglehold on the institution

Brussels Edition – BB

Brussels Playbook – Politico
What’s next for Ursula — What’s next for Margaritis — Salvini’s miracle

Danske Daily – Danske Bank

Eco Day Europe – BB
BOE Losing Faith, South Korea Cuts, Trade Impasse * Indonesian central bank set to cut rates to ward off headwinds * Employment jumped and labor force swelled in Australia

Daily Market Comment – Marc Chandler

Five Things to Start Your Day US – BB

US Open Rundown – RANsquawk

US Open – ZH
European Stocks, US Futures Rebound After ECB Said To Revamp Inflation Goal

Eco Day US – BB
Fed Splinter, ECB Studies Revamp, Brexit Recession Risk * A July rate cut could end Powell’s record-breaking Fed unity * U.K. faces recession in no-deal Brexit, fiscal watchdog warns


FINNISH
Aamukatsaus –  Nordea
Optimismi nopean ratkaisun suhteen kauppasodassa on viime päivinä hälventynyt | Euroalueen kesäkuun inflaatiota tarkistettiin kymmenyksellä ylöspäin | Tänään julkaistaan Philadelphian teollisuuden luottamusindeksi