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The Economy
US growth slows; the Fed is happy with its policy settings. Solid gain in Canada’s November GDP. The UK labor market shows some resilience. European data on growth, inflation, surprises positively. Services employment under renewed pressure in Japan. Australian inflation picks up, still much below target.
The Market
Equity market declines are sizable and broad. Italian bond yields decline on talk of new government avoiding snap election. Risk-off sentiment boosts the dollar. Production cuts continue to support oil prices.