Good morning New York,
FT ALPHAVILLE
Don't mention the R word: That's recession and the merest hint of the word sends Australian policymakers in to paroxysms of anger, says Neil. As an example, here's David Gruen (the Treasury's chief macroeconomist) speaking before a Senate hearing last week.
Regrets, IMF had a few: In a guest post for FT Alphaville, Gabriel Sterne, a senior economist at Exotix with two decades of public sector experience including at the IMF comments on the IMF's "ex post evaluation" of its involvement in the Greek bailout and argues that the issues for the fund go much deeper than already set out.
NEWS
Turkish police move in on Taksim Square in Istanbul: Turkish riot police stormed into Taksim Square in central Istanbul on Tuesday with hundreds of police wearing gas masks and firing tear gas and water cannons into the square against protesters who threw stones, fireworks and petrol bombs at the police. Government plans to build on the park, next to Taksim are what sparked the original protests on May 31, which have shaken Turkey. (Financial Times)
ECB prepares to defend monetary policy in German court: Germany's top monetary policy officials prepared to go head-to-head in the country's constitutional court on Tuesday in the first of two days of hearings into the European Central Bank's pledge last year to save the euro. The Bundesbank is close to alleging the ECB has exceeded its mandate in doing so. (Financial Times)
Eurozone banks cut cross-border debt holdings: Eurozone banks have cut cross-border holdings of government and corporate bonds to such an extent they have wiped out all the progress towards the integration of the bloc's debt markets achieved after the euro's launch. (Financial Times)
World has 10 years of shale oil, reports US: Global shale resources are vast enough to cover more than a decade of oil consumption, according to the first-ever US assessment of reserves from Russia to Argentina. The US Department of Energy estimated "technically recoverable" shale oil resources of 345bn barrels in 42 countries it surveyed, or 10 per cent of global crude supplies. (Financial Times)
Apple announces iOS redesign: Apple unveiled what its chief executive Tim Cook called the most radical redesign of its iOS software since the introduction of the iPhone six years ago, as the company looks to prove it has not lost the advantage in innovation to rivals. (Financial Times)
US to crack down on virtual currency tax fraud: Virtual currencies such as Bitcoin and the exchanges where they trade have come under increased scrutiny since last month's arrest of five individuals associated with Liberty Reserve, a Costa Rican-based digital currency business, on charges of running a $6bn money laundering scheme. Now US authorities have signalled they believe that virtual currencies – which can be traded anonymously – are being used improperly in other ways including to evade tax. (Financial Times)
SoftBank raises bid for Sprint to $21.6bn: The group's improved bid is an attempt to ward off a competing bid from Dish Network. But SoftBank remained uncertain whether the move will clinch the deal. (WSJ)
Markets: European equities followed their Asian peers lower after the Bank of Japan held off from implementing any fresh stimulus and worries remained over an early reduction in the US Federal Reserve's measures. Disappointment about the Bank of Japan's decision left the FTSE Asia Pacific index down 0.7 per cent to 253.17, edging towards a fresh six-month low, led by Japan's Nikkei 225 index, which fell 1.5 per cent to 13,317.62. The Eurofirst 300 index dropped 0.5 per cent to 1,186.92, while Germany's Dax and the UK's FTSE 100 were 0.6 per cent to 0.5 per cent lower, with investors also cautious due to concerns about the pace of growth in China after recent weak data. (Financial Times)
