Market Movers Today
Today's key event is the FOMC meeting tonight in the US. We expect the Fed to maintain the Fed funds target range in line with consensus and market pricing. All eyes will be on the statements as there are no updated projections and no press conference. We also expect the Fed to wait until the big September meeting to make an announcement on 'quantitative tightening', despite many FOMC members thinking they should get going 'relatively soon'. See FOMC Preview - No major changes , 24 July 2017.
In the UK, the first estimate for GDP growth in Q2 is due for release. We estimate the economy expanded by 0.3% q/q, which is not much stronger than the 0.2% q/q growth rate in Q1 (the weakest among the EU member states). The main reason is that private consumption has slowed, as the weaker GBP is eroding consumer purchasing power. See Research UK: Negative real wage growth has slowed GDP growth , 18 July 2017.
It is a thin data calendar in the Scandies with Swedish trade balance figures and Danish retail sales due for release.
To read the entire report Please click on the pdf File Below: