Yesterday Barack Obama authorized further US actions in Iraq – but this will not be an intervention similar to the previous ones. Americans want to support Syrian opposition and new Iraqi government with aircraft, military equipment and training. In contrast, President Obama does not want to send American troops to Iraq, claiming that there is no direct threat to the United States of America.
Yesterday meeting of the treasury commission in the UK parliament took place, where the BoE governor had to testify on the inflation report. However, beyond an introduction on the interviewed subject, the rest of the meeting was spend on the questions about Scotland and the possible consequences of its disconnection. Mark Carney stated that Scotland would have to have huge reserves to create its own currency. Allocation of Bank of England debts and reserves is still unresolved.
In the night Australian data came, which showed a decrease in unemployment from 6.4% to 6.1% and employment growth of 121k. At the first glance, this is stunning result, especially if you look at previous readings around 10-20k. Partially, such great readings were an effect of the change in methodology of employment count and the unemployment rate by the Australian Bureau of Statistics (ABS). But on the other hand, commentators agree that it is still a good sign. Although currently the record amount of Australian are employed (11.7m), 3.6m of them work part-time only. In addition, 106 700 jobs of those created in August were also part-time ones. The comments indicate, that the data is positive statistical noise.
Today few minor indicators and European Central Bank report will be/was published. In the afternoon, in turn, we have to wait for initial jobless claims (USA). Traditionally, we are going to look for clear deviations or confirmation of current pace, taking into account the 4-week average. We should also pay attention to the ECB Draghi evening speech in Milan. Maybe, it will explain a little more the issue of ABS purchases.