Today's economic calendar is relatively light, with a focus on European and American sessions. The European session features low-tier releases, including Eurozone Retail Sales and PPI data, which are unlikely to significantly impact the ECB's decisions. The markets are in a consolidation phase, awaiting the US CPI report, which is expected to influence interest rate expectations more than the recent US NFP report.
In the American session, the US ISM Services PMI is scheduled for release, with an expected decline to 54.0 from 54.5 previously. The S&P Global US PMIs indicate a slight improvement in services, but the agency highlights subdued growth and customer pushback over high prices. Input cost inflation is showing signs of cooling in June, attributed to lower energy prices.
Central bank speakers are also on the agenda, with several key figures set to address the markets. The Fed's Waller, ECB's Schnabel, and ECB President Lagarde are all scheduled to speak, each with their own voting status and policy stance. Additionally, BoE's Mann and ECB's Lane will contribute to the discussion.
The market's reaction to these events will be crucial, especially with the upcoming US CPI report and its potential impact on interest rate expectations. The speakers' comments and insights will provide valuable context for traders and investors, shaping market sentiment and direction.
