[5 books this morning] Selected news to read before starting work

In the French National Assembly (lower house, constant 577) where votes were cast and counted on the 7th, a left-wing coalitionFirst PartyIt is expected that will be the case. Mr. Le Pen, who substantially leads the far-right political party, the National Union (RN), which had secured a majority and was aiming to form a cabinet for the next government, suffered an unexpected blow. According to exit polls, the left-wing coalition “New People's Front” is expected to gain 170-215 seats. That falls far short of the 289 seats required for a majority. The RN is expected to remain the 3rd party with 110-158 seats. President Macron's centrist coalition is likely to surpass RN with 150-182 seats.

US President Biden visited Pennsylvania on the 7th. The same person who visited a black church in Philadelphia jokingly said, “I say it with all my heart and soul, but I know I can't look like I'm 40,” and then said, “Jokes aside, I've been doing this work for a long time, and this much about the future of the United StatessanguineThat was never the case,” he said. The main members of the Democratic Party who appeared in the media on the same day expressed recognition that while praising Mr. Biden as president, their future as a candidate is uncertain at all.

US Federal Reserve (FRB) Chairman Powell will hold a semi-annual meeting on monetary policy this weektestimonyI will do it. Although there are signs that economic growth and employment are slowing down, there is a large possibility that the chairman will explain that it is necessary to further confirm that inflation has slowed in order for the financial authorities to enter a position to cut interest rates. In the June Consumer Price Index (CPI), which will be announced on the 11th after the testimony, the core index is expected to rise 0.2% from the previous month and grow at the same rate as the previous month. In fact, if that were the case, it would be the smallest continuous two-month increase since August last year.

Bond investors are sending signals that an excellent government is more important than monetary policy in emerging markets. Since the beginning of April, investors have begun selling bonds from high-yield countries where the government has relaxed fiscal policies even more aggressively. On the other hand, bonds from countries that are urging fiscal vigilance are ambitiously even if they have low or negative yieldspurchasingDoing it. This trend is reflected in the second quarter (April-June) performance. High-performing countries such as Argentina, Turkey, and Egypt are all working on fiscal reforms.

Governor Abbott of the US state of Texas, who is visiting Taiwan, met with Minister of Economic Affairs Guo Zhihui (Minister of Economy)Economic cooperationI signed a letter of intent relating to Governor Abbott emphasized that there are opportunities for both sides to cooperate in important industrial fields including semiconductors, energy, and EV manufacturing. It was also revealed that the state of Texas will establish a representative office in Taiwan. This is the first time outside of Mexico that the state has established a new overseas base in this century. Prior to this, Mr. Abbott also met with Taiwan's President Lai Qingde.