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FTX Shares the Spotlight with US Jobs, European Economic and National Security

Published on November 27, 2022

Kim Wallace

Sandra Namoos

SUMMARY

Presidents Biden and Macron meet in one of several euro-centric sessions this week. NATO General Secretary Stoltenberg shuttles between Bucharest and Berlin to discuss the war in Ukraine with a range of European policymakers. Surely part of these discussions will continue to weigh the potential strategic benefits of capping the price of Russian oil. As the world begins to digest the FTX incident, the Financial Times (summit) and US Senate Agriculture Committee (hearing) are among some of the first entities to probe the impact. Monetary policymakers and the US payrolls report lead investors’ macroeconomic interest.

Jacob Kirkegaard’s note last week highlighted the intense focus on G7/EU Russian oil price designs and possible consequences. Michael Hirson continued offering prescient insights on pre-mature expectations of China reopening as Covid outbreaks guarantee the opposite for the coming few quarters. London lamentations are growing not only given the World Cup draw with those cheeky Yankees, but also as the economic costs of Brexit add to Chancellor Hunt’s and Governor Bailey’s woes. The term “Bregret” is enjoying some attention as of late.

OUTLOOK (all times eastern standard)

Monday

3:50 a.m., Financial Times winter 2022 Crypto and Digital Assets Summit.

8:25 a.m., Bank of Spain Governor and current chair of the Basel Committee Pablo Hernandez de Cos closes the 13^th Encuentro Financiero, Sector Bancario (Banking Sector Financial Meeting), Madrid.

9:00 a.m., ECB President Lagarde addresses the European Parliament’s Committee on Economic and Monetary Policy, Brussels.

12:00 p.m., New York Fed bank chief Williams participates in an Economic Club of New York webinar.

Tuesday

4:00 a.m., NATO foreign ministers attend two-day session in Bucharest, Romania.

3:00 p.m., Senate Judiciary Committee hearing to examine the competitive impact of the proposed Kroger-Albertsons combination.

Wednesday

2:45 a.m., Berlin Security Conference where Dr. Iryna Wereschtschuk, Deputy Prime Minister of Ukraine is scheduled to keynote the two-day conference at 3:30 a.m. – German Chancellor Scholz closes the first day.

10:00 a.m., Senate Banking Committee hearing on a slate of FDIC nominations, including Marty Gruenberg to return as chairman.

1:30 p.m., Chair Powell offers the US economic outlook and discusses labor markets at a Brookings Institution event, Washington D.C.

President Xi hosts European Council President Charles Michel (Wednesday night EST).

Thursday

Bank of Japan Governor Kuroda keynotes the ASEAN+3 Economic Cooperation and Financial Stability Forum (time not yet scheduled per BoJ website; likely occurs Thursday night EST).

7:30 a.m., Challenger, Gray, and Christmas November 2022 layoff announcements report released.

8:30 a.m., Fed Governor Bowman addresses participants of the KBW CEO Strategy Forum.

10:00 a.m., Senate Agriculture Committee hearing on FTX; CFTC Chairman Rostin Behnam is the sole witness.

3:00 p.m., Fed Vice Chair, Supervision, Barr focuses on bank capital at an American Enterprise Institute event.

President Biden hosts President Macron at the first White House state dinner of his presidency (Jon Batiste will entertain). Restoration of the transatlantic alliance will be on display concerning monetary policy, trade, war, industrial policy, and China.

India assumes the G20 presidency from Indonesia, affording Prime Minster Modi to spotlight India’s fast-growing economy and regional humanitarian and geopolitical challenges.

Friday

8:30 a.m., US November payrolls report.

The US Air Force and Northrop Grumman introduce the new B-21 stealth bomber.

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