Fed’s Goolsbee Warns Inflation Remains Elevated, Signals Caution on Rate Cuts 
BOJ Rate Decision in Focus as Yen, Inflation, and Nikkei Hang in Balance 
BOJ Governor Kazuo Ueda Hints at Rate Hike as Inflation Pressures Build 
Japan Inflation Expectations Rise as BOJ Rate Hike Timing Faces Uncertainty 
Bank of Korea Signals Potential Interest Rate Hikes as Inflation Remains Elevated 
Paraguay Holds Interest Rate at 5.5% as Inflation Remains Stable Amid Global Uncertainty 
Markets are trying to survey the extent of weakness in emerging markets, in particular China, and the spillover to developed markets. Data released this week could give the first indications.
Chinese export figures for August will give a signal of demand weakness in emerging market Asia. August credit growth data will indicate if monetary easing is finally providing a more positive credit impulse to the economy.
Euro area Sentix investor confidence will indicate the damage to sentiment from emerging markets turmoil. Lower gasoline prices are set to counter the shock to consumer sentiment from falling stock markets and we look for a broadly unchanged US University of Michigan survey.
Oil and clothing are a drag on inflation in Sweden and Denmark. A weak NOK should boost Norwegian inflation later this year but the impact is limited for now.
"We expect no new announcements at the policy meeting at the Bank of England but the minutes are likely to show concern about the near-term inflation outlook", says Danske Bank.
