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.
The US Federal Reserve (Fed) Chairperson, Janet Yellen, warned that the recent global risks could weigh on the outlook for economic activity in the first day of the two-day semi-annual testimony before House and Senate committees. However, she retained the current policy stance on expectations that ongoing employment gains and wage growth could be supportive of the US economy. The Fed Chair will return for a second day of testimony later today. In addition, today’s update on weekly US jobless claims will provide some fresh insights on evaluating Yellen's forecast. Earlier today, the Confederation of British Industry (CBI) slashed its UK economic growth forecasts for both 2016 and 2017 due to a weaker performance at the end of last year.