Thee 'Brexit' process remains the overarching theme for financial markets, with the focus in the next two days on the European Council meeting. The Brexit decision has also resulted in two 'no shows' from BoE's Carney and Fed's Yellen at what would have otherwise been the key policy event of the next two days, namely the ECB's Forum on Central Banking themed as "The future of the international monetary and financial architecture”, at which Draghi is today's keynote speaker. Statistically the schedule is relatively light, with the US Q1 GDP now very historical (seen revised up again very marginally to 1.0% from 0.8%, thus putting the focus on the Consumer Confidence survey, and to a much smaller extent the Richmond Fed Manufacturing survey and Case Shiller House Prices. Some Fed speak from the generally thoughtful Powell on "Recent Economic Developments, Monetary Policy Considerations & Long-term Prospects" will attract plenty of attention, though it will likely tap Yellen's line about uncertainty. In terms of the nascent post 'leave' debate, and leaving aside the obviously key issue of disarray in the UK's two major political parties, there is at least (belatedly) a realization that it is not about what might be possible in a best of all possible worlds' scenario, but rather what realistically can be achieved. That said, the ostensible paralysis and gridlock surrounding British mainstream politics, above all in leadership terms is the primary and most proximate point of concern for financial markets.
from Marc Ostwald