The Week Ahead: Yellen debut at Jackson Hole
FLASHES of illumination rather than fireworks are expected at this week’s annual meeting of top central bankers and economists in Jackson Hole, Wyoming.
Few predict as momentous a speech as that by Federal Reserve chairman Ben Bernanke two years ago that paved the way for an unprecedented $85bn (£51bn) per month stimulus plan. His successor Janet Yellen, will speak on Saturday.
But policymakers will discuss at length their thinking around the labor markets of major economies at the 21-23 August meeting, perhaps dropping clues about the path for monetary policy in the months ahead.
Elsewhere, US stock funds that invest in Europe will face more problems as an escalation of the conflict in Ukraine is likely to bring stronger economic sanctions against Russia – and harsher retaliation from Moscow.