Not what the markets needed: The U.S. economy looks slightly weaker than expected on this morning’s data
The U.S. economy delivered only slightly disappointing news this morning. But even though the miss on initial claims for unemployment and on revised first quarter GDP was relatively minor, the trend is definitely in the wrong direction.
Could the new EuroZone bailout fund directly recapitalize troubled Spanish banks? The European Commission says it should
What may be the goal of all the recent Spanish jockeying–a change in the rules that would let the permanent EuroZone bailout fund directly recapitalize banks–got a boost this morning from recommendations by the European Commission. Meanwhile a bad Italian bond auction took yields above 6% and yields on German two-year notes fell to 0%.
The current week ends with a big bang of U.S. economic news–a second read on first quarter U.S. GDP growth, initial claims for unemployment, and on Friday the May report on payrolls. The last surrounded by the most anxiety since the last two monthly numbers have been disappointingly weak.