UK September services and composite PMI readings in focus

Good day, everyone! Hope you're all doing well as we head into the European trading session later. It's been a decent start to proceedings so far in Asia with the aussie and kiwi weighed lower as the euro shot up on the back of a report that Italy may cave in and reduce its budget deficit over the next three years.

In terms of data to come, it's all about PMI prints today but the focus will be on the UK release now that we have BoJo's speech yesterday out of the way.

0715 GMT - Spain September services and composite PMI

0745 GMT - Italy September services and composite PMI

0750 GMT - France September final services and composite PMI

0755 GMT - Germany September final services and composite PMI

0800 GMT - Eurozone September final services and composite PMI

Individually, the releases won't do much themselves to impact markets but collectively they build into overall Eurozone economic sentiment. But as the major ones (France, Germany, Eurozone) are final readings they're not expected to have much of an impact to the euro unless they miss/beat considerably from the initial estimates.

0800 GMT - Italy's Q2 public deficit-to-GDP % (year-to-date)

Italy has previously promised Brussels that the deficit this year would fall to 1.6% from the previous year's 2.4%. As I said in the past, agreeing on a budget deficit target is one thing but the follow through fiscal plans must support that otherwise it's just another number that holds no bearing if the government's fiscal plan doesn't add up.

0830 GMT - UK September services and composite PMI

Prior release can be found here. Now that we have the Boris Johnson speech enigma out of the way, the pound can find some form of more basic reaction to economic data once again. The services reading here matters more than the manufacturing and construction prints seen earlier this week so expect some minor to decent reaction in the pound depending on the beat/miss relative to expectations and prior. But regardless, it's still all about Brexit for the pound over the next two months.

0900 GMT - Eurozone August retail sales data

Prior release can be found here. A general sentiment indicator of Eurozone consumption/retail patterns. Low-tier data.

1100 GMT - US MBA mortgage applications w.e. 28 September

Weekly US housing data, measures the change in number of applications for mortgages backed by the MBA during the week. Not the biggest of data points, but a general indicator of the housing sector sentiment.

Also to come, we'll have ECB's Mersch speaking in Riga at 0620 GMT. Mersch will be delivering the keynote speech at a conference on "Payments in the 22nd century: Futures starts today?". Then, we'll also have Fed's Evans speaking in London at 1030 GMT. Evans will be giving the OMIFIF City lecture on the US economy and monetary policy. There will also be a Q&A session thereafter.

That's all for the session. I wish you all the best of days ahead and as always, good luck with your trading!