Market movers today
Today's highlight is the BoE's rate decision at 13:00 CEST. We expect the Bank of England to hike the Bank Rate from 0.50% to 0.75% (in line with consensus and market pricing), as activity indicators have rebounded and the unemployment rate is low. We expect no change in the APF nor the CBPP. It is one of the big meetings to keep an eye on. The Inflation Report is also due at 13:00 CEST. BoE Governor Carney's press conference starts at 13:30 CEST. Going forward, we expect the Bank of England to hike once a year. We look for EUR/GBP to remain range bound near term, with Brexit uncertainty expected to remain a key source of volatility. See Bank of England Preview: Once a year hiking cycle , 26 July.
In Denmark , FX reserves data for July are due out at 16:00 CEST. We expect them to show that Danmarks Nationalbank did not intervene in the DKK markets in July.
Overnight, Thursday/Friday, Chinese Caixin index will be released. It is likely to mirror the small disappointment that the official Chinese numbers showed earlier this week.
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