In Italy, the manufacturing confidence index is expected to firm slightly to 101.8 in January from 101.4 in December while consumer confidence is expected to ease slightly to 102.3 from 102.5.

US durable goods orders are forecast to have rebounded 2.8 percent on the month in December after November's steep 2.1 percent decline. Yet the gain is seen concentrated in aircraft as both orders excluding transportation and core capital goods orders are seen falling 0.2 percent following 0.2 percent gains in both measures.

Fourth-quarter GDP is expected to slow to 2.7 percent annualized growth versus third-quarter growth of 3.2 percent. Yet personal consumption expenditures, after the third-quarter's plus 2.3 percent rate, are expected to rise to 2.6 percent, indicating resilience.

The US goods deficit (Census basis) is expected to widen by nearly $6 billion in December to $88.5 billion after narrowing by nearly $16 billion in November, a very big move.

Jobless claims for the January 21 week are expected to come in at 202,000 versus a very low 190,000 in the prior week.

Wholesale inventories are expected to increase 0.5 percent in the advance report for December that would follow a 1.0 percent build in November.

New home sales in December, which in November reversed a run of declines, are expected to revert to trend at a 614,000 annualized rate versus November's 640,000.

Market Focus details key factors in the coming day that will impact the economic outlook and the financial markets. These include central bank events, economic indicators, policymaker speeches as well as expected political and corporate developments.

Keeping up-to-date with event schedules and the economic calendar is key to understanding the global financial system. Econoday's Market Focus allows investors and policymakers to carefully track what will be making news and moving the financial markets in the coming day.