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Friday, August 3

3rd Aug - Trade war intensifies




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EUROPE
Big Read: How Germany became Donald Trump’s European punchbagFT
Despite disputes over trade, Nato and immigration, Berlin and Washington must find a way to work together

Italy Starts Budget Talks as Investors Send Warning to ConteBB
Premier Giuseppe Conte started discussions on 2019 spending * Finance minister Tria promised to keep deficit within EU rules

Italian government debt hit by fresh sell-off FT
Yields hit highest levels since post-election crisis on concerns over budget talks


UNITED STATES
   JULY JOBS

The Numbers – WSJ
Report in 8 Charts – WSJ
Miss: Only 157K Jobs Added In July As Hourly Earnings Come In Line – ZH
U.S. Jobs Engine Keeps Humming While Wage Pickup Stays Elusive – BB


OTHER
All downhill from here? FT
All the main global engines for growth look to have peaked, inclusive of the US, Europe, Japan and China.

  US-CHINA TRADE WAR
Trump zeroes in on China after EU trade truceFT
US president moves to resolve other disputes but ups ante in battle with Beijing

China plans tariffs on $60 billion of U.S. goods in latest trade salvoReuters

China blinks at a 7.00 handle for the yuanING
The People’s Bank of China (PBOC) has announced a re-introduction of reserve requirements on FX forwards trading – a move clearly aimed at taking pressure off the renminbi as USD/CNY closed in on 7.00. This looks only a temporary reprieve for the renminbi; prior PBoC attempts to stem CNY weakness haven't been all that successful in reversing a trend

China Steps In to Support Yuan By Boosting Cost to ShortBB
Currency sank earlier on Friday to head toward 7 per dollar * PBOC says it’s aiming to prevent macro financial risks

Kudlow Says Trump Won't Back Off After China Retaliates in Trade WarBB
China announced $60 billion in planned U.S. retaliation Friday * Meat, wheat, wine and LNG potentially hit with highest duties

U.S.'s Kudlow Trash Talks China Calling It ‘Lousy Investment’BB


REGULARS
EU Open RundownRANsquawk

FirstFT Daily BriefingFT

WSJ EconomicsWSJ
Employers Are Hiring, the Trade Deficit Is Widening and the Feds Want More Taxes From Your Bottle of Wine

Danske DailyDanske Bank

Daily Market CommentMarc Chandler
Greenback Remains Firm Ahead of Jobs, JGBs Stabilize, Italian Debt Moves into Spotlight

Brussels PlaybookPolitico
Will Kurz show his mettle? — Crowdsourcing for Juncker — Double Dutch for Puigdemont

Five Things You Need to Know to Start Your DayBB

US OpenZH
Markets On Edge As Italian Bonds Slide, Yuan Plunge Hits A Record; Payrolls Loom

US Open RundownRANsquawk

AamukatsausNordea
USA:sta odotetaan vahvaa työmarkkinaraporttia heinäkuulta | Englannin keskuspankki nosti korkoaan yksimielisellä päätöksellä, pääjohtaja Carney painotti malttia rahapolitiikassa | Saksan ja Italian korkoero jälleen nousussa