In a year supposedly filled with central bank interest rate cuts around the world, the prospect of another G10 policy tightening amid fresh strains of stubborn inflation is just a bit jarring. With U.S. markets anxiously awaiting Friday's update on the Federal Reserve's favored PCE inflation gauge, Australia's dollar jumped 0.5% overnight after inflation there unexpectedly accelerated to a six-month high of 4% in May with core price up for a fourth month. The surprise unnerved money markets and saw futures shift the chances of another Reserve Bank tightening this year to 60% from next to zero prior to the report.
Dining out, live events, clothes and transport are among the items people splash out on, HSBC UK said.
Reality TV star Paris Hilton is set to testify before a U.S. House of Representatives committee hearing on Wednesday, in support of reauthorization of a federal program responsible for children in foster care. Hilton, 43, the great-granddaughter of Hilton Hotels founder Conrad Hilton, has spoken publicly about the alleged emotional and physical abuse she endured when she was placed in residential youth treatment facilities as a teen.