USD
New York Federal Reserve Bank President William Dudley said on Monday the Fed
remains on track for a likely rate hike this year and could reach its inflation
target next year, faster than many other policymakers anticipate.

Dudley said the first hike could come as soon as October as policymakers take
stock of an improving economy.

The U.S. central bank delayed a rate hike at its September meeting in the face

USD
New York Federal Reserve Bank President William Dudley said on Monday the Fed
remains on track for a likely rate hike this year and could reach its inflation
target next year, faster than many other policymakers anticipate.

Dudley said the first hike could come as soon as October as policymakers take
stock of an improving economy.

The U.S. central bank delayed a rate hike at its September meeting in the face
of uncertainty about the global economy, a market selloff in the U.S. and
concern that inflation might fall further away from the Fed’s two percent
target. 

Dudley, an influential voting member of the policy setting Federal Open Market
Committee and close ally of Fed Chair Janet Yellen, said he remains confident
that factors keeping inflation below the Fed’s 2% target rate will “flush out”
and push inflation higher in the next year or two.

Asia
This morning news focused again on the Asian markets which fell sharply on
fears over growth prospects and commodity prices which continued to drive a
global sell-off in equities. A weak survey of Chinese industrial profits,
released on Monday, also added to investors’ concerns about the world’s
second-largest economy.

As a result of the negative data  saw shares in the worlds largest
commodity trader Glencore fall as much as 28% in Asia’s afternoon trade
following a similar drop in London on Monday. There are some fears that the
slowdown in china could drag the the global economy into another recession.

Key Announcements
13:00- EUR: German Consumer Price index  (Sept) expected to fall from
0.0% to -0.1%
19:40- GBP: BoE Governor Mark Carney Speech