Last quote by Peter Chatwell
Peter Chatwell quotes
It looks like the (Italy) announcement came as a surprise ... and now the market is preparing for that supply. We've also got all of these political factors building up ... and the sentiment is going to be towards spreads widening from here.
It (the Fed) did not materially downgrade its economic assessment but did mention a slowdown in growth and was less optimistic on the chances of inflation returning to target.
Weaker than expected inflation dynamics are of particular concern to the central bank and the publication of 2018 economic forecasts at the March meeting will need to be accompanied with new easing measures if the central bank wants to credibly forecast inflation returning close to target over the forecasting horizon.
The deterioration of peripheral markets appears to be accelerating, which is mainly a function of stress stemming from Spain's banking sector and the Greek exit risks.
The yield is much higher than June's auction, reflecting the recent hammering the Italian credit has suffered.