EUROPEAN SESSION
In the European session, we don’t have much on the agenda other than a couple of low tier releases like the Eurozone Retail Sales and PPI data that won’t change anything for the ECB, so the market reaction will likely be muted.
The markets are mostly in consolidation mode as we await the US CPI report due next Tuesday. That should influence interest rate expectations more than the recent US NFP report.
AMERICAN SESSION
In the American session, we get the US ISM Services PMI which is expected to ease to 54.0 vs 54.5 prior. The S&P Global US PMIs showed a small uptick in services but the agency noted that “the services sector continues to grow at an especially subdued pace, reflecting push-back from customers over high prices amid low levels of consumer confidence in particular”.
The agency also added that “input cost inflation has shown sign of cooling in June thanks in part to the lower energy prices seen at the tail end of the survey data collection period”.
CENTRAL BANK SPEAKERS
15:00 GMT/11:00 ET – Fed’s Waller (neutral – voter)15:00 GMT/11:00 ET – ECB’s Schnabel (hawkish – voter)16:00 GMT/12:00 ET – ECB President Lagarde (neutral – voter)16:45 GMT/12:45 ET – BoE’s Mann (neutral – voter)18:30 GMT/14:30 ET – ECB’s Lane (neutral – voter)
This article was written by Giuseppe Dellamotta at investinglive.com.