Today is another light day for economic releases across the globe, though the second estimate of Britain’s third quarter GDP figure published just now is likely to have stirred some market interest. UK’s growth rate for the three months ended September was left unrevised suggesting a moderation in economic growth from the previous quarter. Today’s GDP update has come just two days after the UK Chancellor, in the Autumn Statement, had projected higher economic growth in 2016.Across the Atlantic, the economic calendar is once again empty as US currency traders are away on an extended break. In Europe, with only little in terms of second tier economic updates, market focus will shift towards next week’s main highlight – the European Central Bank (ECB) monetary policy meeting.
US markets are closed today for Thanksgiving holiday, but even then investors appear to be gearing up for next month’s crucial monetary policy meeting. But before that, US November jobs report which is scheduled in the coming week will grab the spotlight as it is the last major bit of information for the Fed to mull before its rate decision meeting. Also, there will be the European Central Bank’s (ECB) meeting next Thursday, where it is expected to introduce further stimulus measures and the diverging central bank policies should continue to play out in markets.Meanwhile, in a light session today, data in Europe showed that the Spanish economy grew moderately in the third quarter. Going forward, German consumer confidence as measured by the GfK is also on radar today.
Dovish comments by the Bank of England (BoE) Governor Mark Carney yesterday that interest rates are likely to remain low for an extended period weighed on the Pound. Today, UK Chancellor’s Autumn Statement will be in the spotlight, wherein the British Finance Minister will unveil budgets for government departments for the next five years and could also revise the nation’s medium term inflation and growth forecasts. Data wise, the just out BBA figures showed that the number of UK mortgage approvals rose less than expected in October.Another focus for investors will be a deluge of US economic data later in the day, including the latest durable goods orders numbers, core personal consumption expenditure index and personal spending data ahead of the Thanksgiving holiday tomorrow.