Today, we will finally get some notable releases. It's the PMIs Day, so we will see how economic activity fared in July for the major economies and especially the US. We have also a central bank decision on the agenda as the Bank of Canada will release its policy setting with a rate cut widely expected.
Below you can see the expectations for the Flash PMIs:
- Eurozone Manufacturing PMI: 46.1 expected vs. 45.8 prior.
- Eurozone Services PMI: 53.0 expected vs. 52.8 prior.
- UK Manufacturing PMI: 51.1 expected vs. 50.9 prior.
- UK Services PMI: 52.5 expected vs. 52.1 prior.
- US Manufacturing PMI: 51.7 expected vs. 51.6 prior.
- US Services PMI: 54.4 expected vs. 55.3 prior.
Flash PMI
13:45 GMT/09:45 ET - BoC Policy Decision
The BoC is expected to cut interest rates by 25 bps and bring the policy rate to 4.50%. Such expectations have been influenced by another soft labour market report and strengthened after the last Canadian CPI data where the underlying inflation measures eased further. Including the July cut, the market expects 63 bps of easing by year-end.
BoC
Central bank speakers:
- 12:00 GMT/08:00 ET - ECB's Lane (dove - voter)
- 20:05 GMT/16:05 ET - Fed's Bowman (she won't touch on monetary policy as the Fed is in blackout period)
