The markets were busy with lots of economic data on the tap. In the Eurozone, the flash inflation estimates showed that headline consumer prices increased 2.1% on the year ending June. This was above expectations and even the core inflation rate was seen to have increased 1.1% on the year.
On the downside, the preliminary GDP reports for the second quarter suggested that growth in the Eurozone expanded just 0.3%. This was slower than the 0.4% estimates and the rate of expansion from the previous quarter.
Canada’s monthly GDP figures showed a strong 0.5% increase on the month. The data beat estimates of a 0.3% increase.
In the U.S. trading session, the core PCE price index data showed a 0.1% increase on the month, matching estimates. Personal spending and income increased 0.4% respectively.
In the overnight trading session, the New Zealand employment data showed that the unemployment rate increased to 4.5% coming in above estimates of 4.4%. The quarterly employment change increased 0.5%.
Investors will be looking to a new trading month. The UK’s manufacturing PMI is on the tap this week with forecasts expected to show a modest reading of 54.2.
The U.S. trading session will see the release of the ADP private payrolls followed by the ISM’s manufacturing PMI. Manufacturing activity is expected to show a print of 59.2. Later in the afternoon, the FOMC will be releasing its monetary policy statement. No changes are expected at today’s meeting.
