Economic data was light on the day especially with the U.S. markets closed yesterday. Australia’s retail sales report showed a 0.4% increase on the month beating estimates of a 0.3% increase with the previous month’s data being revised higher to 0.5%.
In the UK, the services PMI showed that activity in the sector increased strongly, rising to 55.1, beating estimates of 54.0 and rising from May’s level of 54.0.
The markets will be looking to a busy day especially where the U.S. dollar is concerned. The ADP private payrolls report is expected to show that the U.S. economy added 190k jobs in the private sector. This marks a higher pace of job growth compared to May’s increase of 178k.
The ISM non-manufacturing PMI is forecast to slip to 58.3 in June compared to 58.6 in May. However, there is scope that the actual data could surprise to the upside.
Later in the evening, the FOMC meeting minutes will be released. The minutes cover the June FOMC meeting where interest rates were hiked and the Federal Reserve had announced a fourth rate hike for the year.
