The U.S. Dollar eased back following the gains from Wednesday. On the economic front, the UK’s construction PMI eased to 52.8 which was below estimates and down from November’s reading of 53.4.
Data from the U.S. showed that the ADP/Moody’s private payroll numbers surged 271k. The data beat the conservative estimates of 179k increase. However, payrolls for November were revised down to show a reading of 157k.
The ISM manufacturing PMI declined more than expected, falling to a two year low. Data showed that manufacturing activity dropped to 54.1 on the index missing estimates of a decline to 57.7. This was lower in comparison to November’s reading of 59.3.
The first busy day of the week will see investors turning attention to the data from the U.S. But ahead of this, the economic calendar today will cover the services activity for the Eurozone.
The Eurozone’s services PMI is forecast to remain steady at 51.4. Meanwhile, the UK’s services activity is expected to pick up slightly from 50.4 in November to 50.8.
Flash inflation estimates for the Eurozone are also due today. Headline consumer prices are expected to fall from 2.0% to 1.8% in January. Core inflation is however expected to remain unchanged at 1.0%. ECB officials had previously forecast about a short-term weakness in consumer prices. Producer prices data for December in the Eurozone is expected to ease 0.1% on the month.
The NY trading session kicks off with Canada and the U.S. labor market data. The U.S. unemployment rate is expected to remain steady at 3.7%. Wage growth is expected to rise 0.3% on the month while the U.S. economy is forecast to add 181k jobs in December.
Following the payrolls data, Fed Chair Jerome Powell is expected to speak later in the day which could keep investors busy.
