A number of key economic reports are scheduled for the day, amongst which the just published UK Services PMI index ticked unexpectedly higher for January, suggesting that the dominant services sector will continue to be the major growth driver in the UK economy. A surprise advance in both the manufacturing and services sector are likely to make Sterling investors more optimistic about the Bank of England’s (BoE) quarterly forecasts scheduled tomorrow. Moving ahead, Euro area retail sales data will be in focus amid expectations of a modest recovery on the back of a drop in oil prices. Across the Atlantic, services PMI and the ADP employment report due later in the day will be closely watched.
Global economic news is off to a slow start this week. In Europe, the just published Sentix survey results confirmed that investor sentiment has deteriorated in the Euro zone, with the indicator falling below market expectations for February. This data was released ahead of a slew of economic releases including GDP estimates across the Euro bloc, scheduled in the coming days, which are likely to set the tone for macro expectations. Across the Atlantic, the Federal Reserve’s (Fed) take on the US job market with the help of the labour market conditions index, due for release later today, will provide more insights after Friday’s report on payrolls. Meanwhile, markets look forward to key UK economic reports scheduled from tomorrow amid a data empty UK docket today.