Highlights
India's manufacturing purchasing managers' index (PMI) data for July is expected to show the manufacturing PMI rose further to 58.5 from June's 58.3 and May's 57.5.
In France, no revisions are expected to the flash report, leaving the manufacturing sector PMI at just 44.1, down from June's final 45.4.
The final reading of the German PMI for July is also expected to show no revisions to the flash report, leaving the manufacturing PMI at a lowly 42.6, down from June's final 43.5.
In the Eurozone, no revisions are expected to the flash report, leaving the manufacturing sector PMI at 45.6 in July, down from June's final 45.8.
The UK manufacturing PMI for July is also seen unrevised, leaving the sector PMI at 51.8, up from June's final 51.4.
The Eurozone unemployment rate for June is forecast to post an incremental rise to 6.5 percent versus May and April's record low, both at 6.4 percent. The regional labour market has been very tight.
The Bank of England is expected to start lowering rates by cutting its policy rate by 25 basis points to 5.0 percent, possibly in a split vote at its August 1 meeting, despite sticky services and core inflation and solid economic growth. That would follow a back-to-back 25 basis point cut by the Bank of Canada on July 24.
The announcement of the BoE rate decision and minutes is slated for 7 a.m. EDT (1100 GMT/noon London time). At its previous meeting on June 19, the Monetary Policy Committee decided in a 7 to 2 vote to maintain Bank Rate at 5.25 percent. Two members called for a 25-baisis point cut. At the time, the MPC said monetary policy will need to remain restrictive for sufficiently long to return inflation to the 2 percent target sustainably in the medium term.
In the US, new jobless claims for the July 27 week are expected to hold steady at 236,000 versus 235,000 in the prior week.
Nonfarm productivity is expected to rise at a 1.6 percent annualized rate in the second quarter versus 0.2 percent growth in the first quarter. Unit labor costs, which climbed 4.0 percent in the first quarter, are expected to slow to a 1.9 percent rate in the second quarter.
The final US manufacturing PMI for July is expected to come in at 49.5, unchanged from the lower-than-expected flash and more than 2 points below June.
After edging 2 tenths lower in June to 48.5, the ISM manufacturing index, which has missed Econoday's consensus the last three reports in a row, is expected to edge higher to a still subpar 48.8 in July.
Construction spending has missed Econoday's consensus each month so far this year (the last five reports). Spending on the month in June is expected to increase 0.2 percent versus May's 0.1 percent decline.
South Korean consumer prices in July, which in June slowed from May's 2.7 to 2.4 percent, are expected to edge up to 2.5 percent. The CPI annual rate has been easing from the recent peak of 3.1 percent seen in February and March this year.
In France, no revisions are expected to the flash report, leaving the manufacturing sector PMI at just 44.1, down from June's final 45.4.
The final reading of the German PMI for July is also expected to show no revisions to the flash report, leaving the manufacturing PMI at a lowly 42.6, down from June's final 43.5.
In the Eurozone, no revisions are expected to the flash report, leaving the manufacturing sector PMI at 45.6 in July, down from June's final 45.8.
The UK manufacturing PMI for July is also seen unrevised, leaving the sector PMI at 51.8, up from June's final 51.4.
The Eurozone unemployment rate for June is forecast to post an incremental rise to 6.5 percent versus May and April's record low, both at 6.4 percent. The regional labour market has been very tight.
The Bank of England is expected to start lowering rates by cutting its policy rate by 25 basis points to 5.0 percent, possibly in a split vote at its August 1 meeting, despite sticky services and core inflation and solid economic growth. That would follow a back-to-back 25 basis point cut by the Bank of Canada on July 24.
The announcement of the BoE rate decision and minutes is slated for 7 a.m. EDT (1100 GMT/noon London time). At its previous meeting on June 19, the Monetary Policy Committee decided in a 7 to 2 vote to maintain Bank Rate at 5.25 percent. Two members called for a 25-baisis point cut. At the time, the MPC said monetary policy will need to remain restrictive for sufficiently long to return inflation to the 2 percent target sustainably in the medium term.
In the US, new jobless claims for the July 27 week are expected to hold steady at 236,000 versus 235,000 in the prior week.
Nonfarm productivity is expected to rise at a 1.6 percent annualized rate in the second quarter versus 0.2 percent growth in the first quarter. Unit labor costs, which climbed 4.0 percent in the first quarter, are expected to slow to a 1.9 percent rate in the second quarter.
The final US manufacturing PMI for July is expected to come in at 49.5, unchanged from the lower-than-expected flash and more than 2 points below June.
After edging 2 tenths lower in June to 48.5, the ISM manufacturing index, which has missed Econoday's consensus the last three reports in a row, is expected to edge higher to a still subpar 48.8 in July.
Construction spending has missed Econoday's consensus each month so far this year (the last five reports). Spending on the month in June is expected to increase 0.2 percent versus May's 0.1 percent decline.
South Korean consumer prices in July, which in June slowed from May's 2.7 to 2.4 percent, are expected to edge up to 2.5 percent. The CPI annual rate has been easing from the recent peak of 3.1 percent seen in February and March this year.
Definition
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.
Description
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.
