Energy matters

Central banks have dominated the financial headlines over this past week but, with the possible exception of the BoJ, they don’t appear to have spawned any big policy surprises so far. That said their communications continue to suggest a readiness to calibrate monetary policy at a more restrictive level if the incoming dataflow exceed their expectations. With this in mind our charts this week home in on the following factors:

·         Market expectations for Fed policy

·         Slowing money supply growth in the euro area

·         The revival in US and European consumer confidence

·         Goods and services inflation in advanced economies

·         Energy prices in advanced economies 

·         Global energy consumption sources