It's going to be a slow day in terms of data releases with just a couple of low tier indicators. In terms of interest rates expectations, we are now in a kind of a limbo as the despite some hot inflation readings and a less dovish Powell, the market continues to see three rate cuts by the end of 2025.
The market looks fine with this pricing, so we will need some stronger reasons to price out the rest of the rate cuts. In the meantime, this could open the door for a larger pullback in the US Dollar (all else being equal).
Central bank speakers:
- 08:15 GMT/03:15 ET - ECB's de Guindos (neutral - voter)
- 13:00 GMT/08:00 ET - ECB's Lane (neutral - voter)
- 15:00 GMT/10:00 ET - Fed's Goolsbee (dove - voter)
- 17:30 GMT/12:30 ET - ECB's Lagarde (neutral - voter)
- 18:30 GMT/13:30 ET - ECB's Lagarde (neutral - voter)
