On BOJ & ECB Decisions Ahead, European Stocks & Britain’s New Prime Minister

The central banks of Japan and Europe will make decisions on interest-rate policy this week. … William says this is no time for the BOJ to pause its tightening as expected. The stakes are too high. … The ECB likewise is expected to pause. Its ability to focus solely on inflation is compromised by the debt problems of some countries, which are driving up bond yields and doing some of the ECB’s tightening work for it. … Toby observes that European stocks may have been overly discounted amid the debt problems, as the earnings outlook remains good. … Britain’s debt markets seem confident that PM Andy Burnham is no Liz Truss. Now he has to prove it.