EUROPEAN SESSION
In the European session, we get the final manufacturing PMIs for the major Eurozone economies and the UK. The data is not going to change anything for the respective central banks, so the market reaction will likely be muted.
We also have the Swiss CPI report which is expected to show the yearly inflation rate easing to 0.4%. The SNB is seen reamining on hold until the end of 2027 unless the inflation outlook changes markedly. Therefore, today’s data won’t matter much and it’s not going to be market-moving.
The market focus will remain on US-Iran developements as we await the US CPI report due on the 14th of August.
AMERICAN SESSION
In the American session, the main highlight is the US ISM Manufacturing PMI, expected at 53.9 vs 53.3. prior. The S&P Global US PMIs showed a slight weakening in manufacturing growth as some of the stock building seen in prior months showed signs of fading.
The agency noted that July saw a concerning intensification of supply chain delays and accompanying renewed upturn in price pressures, constraining growth and subduing demand. The war in the Middle East will have only further exacerbated these supply chain and price worries and raise downside risks to the near-term outlook for the economy.
This article was written by Giuseppe Dellamotta at investinglive.com.
