What are the principle occasions for in the present day?

We have finally a more lively day in terms of data releases. In the European session, we get the Flash PMIs for the major European economies. The Eurozone PMIs might not change much for market pricing or the ECB, but the UK PMIs could influence interest rates expectations in case of significant deviation.

In the American session, the focus will switch to the US Jobless Claims and the US PMIs. Initial Claims are expected at 225K vs 224K prior, while Continuing Claims are seen at 1960K vs 1953K prior.

Claims are the most timely labour market indicator we have and the data has been confirming a “low hiring, low firing” environment. The data is likely to be important ahead of Powell’s speech and given the Fed’s focus on the labour market conditions.

The US PMIs are expected to ease slightly with the Manufacturing PMI expected at 49.5 vs 49.8 prior and Services PMI seen at 54.2 vs 55.7 prior. Traders will likely focus on employment and inflation details in the report.

This article was written by Giuseppe Dellamotta at investinglive.com.