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Wednesday, September 24

24th Sep - Bad Ifo, PBOC-hustle



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EUROPE
Who’s afraid of the AQR?Bruegel
Banks have incentives to recapitalize in socially undesirable ways and to hide losses on their balance sheets. Will the comprehensive assessment solve these issues by forcing significant European banks to recognize losses and to recapitalize by issuing new equity instead of deleveraging?

EURCHF floor could become collateral damage if ECB ups the anteTradingFloor
Switzerland's economic outlook has deteriorated considerably since June * The SNB has stressed the EURCHF floor of 1.20 will be maintained * To defend the floor, SNB will purchase foreign currency in 'unlimited quantities’

  EUROPEAN CENTRAL BANK
Interview of Mario Draghi with Europe 1 – ECB
ECB to keep loose policy 'for long time': Draghi – Reuters
Draghi Says Euro Level Reflects Monetary-Policy Paths – BB
Draghi helps halt European stock sell-off – Reuters

ECB's plans to revive bank lending leave economists unconvincedReuters
Bank lending to private euro zone businesses needs to grow at a 3 percent annual rate on a sustained basis in order to stir inflation, according a Reuters poll

Will German Weakness Pave the Way for QE?WSJ

Europe should fear German retreat: Ambrose Evans-PritchardTradingFloor
European hopes for central bank-led quantitative easing have retreated even further with the success of Germany's anti-euro Alternative für Deutschland party.


  MACRO NUMBERS
Swedish consumer confidence surges, business confidence drops – TradingFloor
September Ifo Business Climate Index Continues to Fall – CESifo
Slide in German business morale points to weak third-quarter – Reuters
German Business Confidence Drops for Fifth Month – BB
An end of an era for German growth? – TradingFloor

ASIA
Who is Chinese Central Banker Zhou Xiaochuan?WSJ

Skids under Zhou Xiaochuan?FT
People’s Bank of China governor Zhou Xiaochuan looks to be on the way out

Analysis: Chinese Central Banker’s Departure Wouldn’t Necessarily Signal Policy ShiftWSJ

How China’s Central Bank Works – At A GlanceWSJ

"Get To Work Mr. Chinese Chairman": China Set To Fire Its Central Bank Head, Unleash The Liquidity FloodgatesZH

China Getting Used to the ‘New Normal’ of Slower GrowthWSJ
The years of double-digit economic growth are over in China, say government officials who are starting to use a phrase familiar to Americans and Europeans: “the new normal.”

Xi Jinping’s Pure PartyProject Syndicate
George Magnus: While the Chinese authorities' efforts to root out corruption within the Communist Party are a welcome development, the Party itself is part of the problem.
  
Australia’s Central Bank Makes Pre-Emptive Move on House Prices - WSJ
RBA Discussing Measures to Cool ‘Unbalanced’ Housing Market - BB
Australia’s central bank said investors are starting to distort the nation’s housing market and is discussing possible measures with other regulators to strengthen lending practices.
 
OTHER
Daily MacroWSJ
Data continue to show the disparate state of growth throughout the global economy, both across and within regions. Wednesday brought a reminder of how poorly Germany is doing but also offered hints of an Italian rebound. And within the otherwise sluggish Australian economy, that country’s central bank is worried about speculation in the housing market.

Daily Central BanksWSJ
Hilsenrath’s Take: Explaining Why U.S. Rates Have Suddenly Gone Negative * Fed’s Bullard Still Looks to 1st Quarter 2015 Fed Rate Increase * Fed’s George Wants to Raise Rates Soon, Gradually *
Australia’s Central Bank Makes Pre-Emptive Move on House Prices * Brazil’s Central Bank Increases Forex Interventions

Great Graphic: The Euro and Commodity PricesMarc to Market

Five reasons why the picture is looking gloomy for global trade… - FT

Global Trade Collapses: One Of World's Largest Logistics Companies Slashes Forecast; Blames Europe, US TradeZH

FINNISH
Sixten Korkman: Euroopan talouden pahin ongelma on kysynnän puuteHS

Kannattaako hallituksen enää jatkaa?Vesa Varhee / TalSa
Vihreiden päätös jättää Alexander Stubbin (kok.) hallitus saattaa helpottaa hallituksen taivalta. Suomen talouden tila ja ennen kaikkea sen suunnan kääntäminen vaativat selkeitä päätöksiä. Niitä on sitä helpompi toteuttaa, mitä vähemmän puolueita hallituksessa istuu. Toisaalta, hallituspohjan rapautuminen saattaa aikaistaa ensi kevään vaaleja, ja antaa toimintakykyisemmän hallituspohjan jo talvella.

Näin asiantuntijat arvioivat puoluejohtajien osaamistaYLE
A-studio kysyi kahdelta politiikan ja viestinnän asiantuntijalta puoluejohtajien taidoista. Näin Harri Saukkomaa ja Mari K. Niemi vastasivat.


Alexander Stubb haluaa tuntuvia veronkevennyksiä – Verkkouutiset
Stubb tahtoo kilpailua ja puhetta alkoholin myynnistä – TalSa

Suomen ulkomainen nettovarallisuusasema pieneni vuonna 2013 – Tilastokeskus
Suomen nettovarallisuusasema putosi rajusti – Verkkouutiset
Teollisuuden tuottajahinnat elokuussa -0,8% YoY – Tilastokeskus
Konkurssien määrä tammi-elok. -5,5% YoY – Tilastokeskus