What are the main events for today?
In the European session, we get the Flash PMIs for France, Germany, Eurozone and the UK. The market will be focused on how economic activity is faring amid all the uncertainty and how strong are the inflationary pressures. Traders are still monitoring the Israel-Iran situation of course, but that shouldn’t be a problem in the bigger picture as long as the Strait of Hormuz remains operational.
In the American session, the focus turns to the Flash US PMIs. Again, the markets will want to see how things are going on in the economy and whether the inflationary pressures increased further. Except Waller, the Fed remains in a wait-and-see mode with very little conviction for rate cuts at least until September. The data throughout the summer will likely decide whether they will manage to cut two times as forecasted.
Central bank speakers:
- 07:00 GMT/03:00 ET – Fed’s Waller (dove – voter)
- 13:00 GMT/09:00 ET – ECB’s Lagarde (neutral – voter)
- 14:00 GMT/10:00 ET – Fed’s Bowman (neutral – voter)
- 17:10 GMT/13:10 ET – Fed’s Goolsbee (neutral – voter)
- 18:30 GMT/14:30 ET – Fed’s Kugler (neutral – voter)
This article was written by Giuseppe Dellamotta at www.forexlive.com.
