M&G’s warning on the risks of EM QE comes as Bank Indonesia becomes the first major EM central bank to formalise a deal to buy debt issuance directly. We feature leading Asia strategist Mirza Baig on why the debt monetization plans look contained, while John Tierney continues his series on the underlying weakness in US labour market data. PIIE also highlight classification problems in US labour market data, something we also wrote about in our deep dive last week.
Bullish small caps and gold are the main market calls we feature this week. JP Asset Management also present their case for balancing quality and cyclical stocks during the upcoming earning season.
On macro we feature BoE Chief Economist Andy Haldane on how the UK must avoid high long-term youth unemployment, Willem Buiter on the Fed’s problematic policy framework, and the OECD on how to manage increased state ownership. On politics, Putin’s relection bid, the top priorities in a Biden presidency, and the status of a post-Brexit trade deal all feature.
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