Highlights:
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Central banks have engaged in a policy reversal in response to weaker economic growth and the uncertainties associated with the US-China trade conflict.
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US inflation has inched higher, but core CPI measures and sluggish wages growth still point to spare capacity in the labour market.
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The UK’s new prime minister Boris Johnson will enter Brexit talks with the EU, but Europe’s negotiators are unwilling to agree to the removal of the Irish backstop.
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Fears of further economic fallout from the trade conflict were partially allayed following positive growth in Chinese exports in July.
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The Australian economy is benefitting from the rise in commodity prices, but the Australian dollar remains under pressure due to the diverging interest rate differential.
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