On Thursday, private sector PMIs for Germany, France, and the Eurozone also require consideration. A pickup in service sector activity could challenge expectations of a September ECB rate cut. However, investors should view the subcomponents, especially price trends. Higher prices may reduce investor bets on a September ECB rate cut.
Beyond the numbers, the ECB monetary policy meeting minutes will also be in focus on Thursday. Views on inflation, the economy, and the rate path need consideration.
The Pound
UK private sector PMI data will put the Pound in the spotlight on Thursday. The services sector will likely influence the Bank of England rate path more, accounting for over 70% of the UK economy.
A higher-than-expected Services PMI could lower the probability of a Q4 2024 BoE rate cut. Investors should also consider price-related subcomponents. As a key contributor to headline…
Read More
