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Sydney - Australia plans to scrap its carbon tax and bring forward an emissions trading scheme, Treasurer Chris Bowen said on Sunday, a policy shift certain to be a focal point in the forthcoming election.

Under current plans, Australia would move from the current fixed price on carbon - essentially a tax assessed on larger companies entitling them to produce carbon emissions - to a floating price in July 2015.

However, since Prime Minister Kevin Rudd regained the leadership of the governing Labour party last month, there has been mounting pressure to ditch the unpopular tax sooner

Chinese GDP QoQ prev 1.6% forecast 1.8% actual 1.7%
Chinese GDP YoY prev 7.7% forecast 7.5% actual 7.5%

Asia very slightly up.

Coming up this afternoon US retail sales at 14:30.

Edit: MoneyPenny was faster on the draw 

Manufacturing in the New York region expanded in July at the fastest pace in five months as the area’s factory activity stabilized amid a slowdown in growth. The Federal Reserve Bank of New York’s general economic index climbed to 9.5 from 7.8 last month. Readings greater than zero signal expansion in New York, northern New Jersey and southern Connecticut. The median projection in a Bloomberg survey of 50 economists called for a reading of 5.

Retail sales rose less than projected in June as demand cooled at building materials outlets and restaurants. The 0.4 percent gain followed a 0.5 percent increase in May that was less than previously reported, Commerce Department figures showed today. The median forecast of 82 economists surveyed by Bloomberg called for a 0.8 percent advance.

(Bloomberg 15/07/2013)

Earnings Announcements
Anglo American Platinum
(Amplats) expects HEPS for the six months
ended 30 June 2013 to increase to 480
–
535cps, from 273cps reported for
the prior year period. EPS is expected to increase to 450
–
486cps,
compared
with
a loss of 178cps in the
same
period
last year
.

Today

The Eurozone reported a trade surplus of EUR14.6 billion (EUR15.8 billion expected, EUR15.2 billion prior). In addition, the ZEW Economic Sentiment Survey rose to 32.8 from 30.6 (31.8 expected). Also of note, CPI came in at 1.6% year-over-year, as expected.
Germany's ZEW Economic Sentiment Survey declined to 36.3 from 38.5 (39.6 expected).
Great Britain's CPI rose 2.9% year-over-year (3.0% expected, 2.7% prior). In addition, input PPI increased 4.2% year-over-year, as expected. Meanwhile, output PPI climbed 2.0% year-over-year (1.9% forecast, 1.2% previous). Also of note, the House Price Index came in at 2.9%, as expected.
Italy reported a trade surplus of EUR3.89 billion (EUR2.14 billion expected).

So, it's a Ben day - again.

Bernanke testifies before lawmakers at 10 a.m. Eastern Time (16:00 for you) but remember his prepared remarks will be available at 8:30 a.m. ET.

But first,  BoE MPC Minutes 10:30, SA retail sales @ 13:00.  Asia and US futures marginally green.

Local news:  Astrapak said on Tuesday Coronation Asset Management had increased its holding in the plastics packaging company to 29.33%.

Today US

Mr. Bernanke reiterated the Fed's intent to remain data dependent by saying asset purchases could be scaled back if economic conditions improve faster than expected, and inflation rises towards the Fed's objective. However, the Fed Chairman also said if financial conditions were to tighten, the current pace of purchases could be maintained for longer.

While the release of the statement received much of the attention, it coincided with the June housing starts report, which came in well below expectations. Housing starts hit an annualized rate of 836,000 units during June while economists polled by Briefing.com had expected for housing starts to hit an annual rate closer to 958,000. Prior month figures were revised upward to reflect an annualized rate of 928,000 starts. Building permits also disappointed, falling from the prior month's rate of 974,000 to 911,000 for June. That was below the pace of 1,000,000 building permits that had been expected among economists polled by Briefing.com.

On a related note, today's weekly MBA Mortgage Index declined 2.6% to follow last week's 4.0% decrease. This was the fifth negative reading in a row and the ninth decline out of the past ten weeks.

Similar to futures, Treasuries are on their highs with the benchmark 10-yr yield lower by five basis points at 2.48%.

(Source: Nasdaq)

Markets, especially emerging markets, reacted quickly moving higher. Xchange rates of emerging markets also strengthened.
Just goes to show how volatile it all is. A pronouncement by Ben or any one of the Fed presidents can instantaneously move the markets either way.