The game of the central banks

A week after Brexit markets are still in a state of turbulence. The first euphoria designated by central bank's support measures are gradually coming to "no", the sellers return to the market, and the demand for protective assets once again are at a record level. As a result, the yield on the thirty-year US Treasury bonds renewed historical minimum and they are now trading at 2.13%, oil quotes have gone below $50 per barrel (Brent), under pressure were the emerging markets, as well as the British pound.
One of the most important upcoming events for the markets is the meeting of the Committee on the open market of the US Federal Reserve on 26-27 July. Although the markets do not believe in a rate hike at the next meeting, extremely high attention will be drawn on what would Yellen say in her comments. If market expectations will meet and the Fed will adjust their plans to tighten monetary policy, the trend in the reduction of interest rates on the long end of the curve will continue, but the demand for risky assets will start to grow again. Otherwise, we may see a correction.
It is necessary to pay attention to the statistics coming out. The June's PMI in almost all developed countries are above 50, which means that the industry expects growth in demand. It is, first of all, a positive signal for commodity prices and for the emerging economies. "The Big Spoil" is China, where the fourth month in a row on the contrary we see a decline in PMI. But Chinese risk is largely incorporated in the prices of assets and is unlikely to be "trigger" of sales, in the conditions when the central bank poured liquidity to the market.