Central banks push back on rate-hike bets as Warsh gives no October signal

Warsh gave no signal on an October move in his IMF appearance, the Wall Street Journal reports. The Financial Times says the Fed and the ECB played down the likelihood of October rate rises, while the Bank of England said the data does not currently support substantial further tightening. The BoE governor said it was too early to call second-round inflation, and Bank of Japan governor Ueda said the bank must ensure underlying inflation does not go above 2%, according to the Journal. Bloomberg writes that the energy shock filtering through the US economy complicates the Fed's job, and the Journal reports that US import prices rose in September. Markets reacted on Friday, 16 October: the FT says Treasuries were heading for their best week since February as AI jitters halted the bond rout and borrowing costs fell back from decades-high levels. The Journal reports that the dollar fell on AI concerns and cautious Fed comments.