It’s crunch time is approaching in Catalonia with the regional parliament planning to meet this week. If Catalan leader Carles Puigdemont follows through on a threat to declare independence, Spanish Prime Minister Mariano Rajoy could suspend the devolved administration and send in security forces. In today’s briefing OM Research looks at the implications of Catalonia’s illegal referendum and the reaction by other EU governments. As politics gain more influence over markets, OM Research looks to break down central governments’ actions and how the chronic problems in the EU/Eurozone are likely to increase over time. Also see Quant Insight piece on impact on Spanish assets. We also look at US tax reform with Strategas providing some analysis on where and how the initial proposals will likely change. In the UK, despite all the political noise and talk of cabinet reshuffles, Heteronomics provides a neat breakdown UK macro, and Brexit. There’s also some interesting research on why Kevin Warsh is the right man for the Fed chair, and a review of a 35-year study from Banque de France that sheds new light on the real drivers on non-fuel commodity markets.