Market Movers ahead
In the US the most important release is the ISM non-manufacturing index for March. We expect a rebound after a four-month drop.
On Wednesday the minutes from the 15-16 March FOMC meeting are due for release. As Fed communication after the meeting has been extensive we do not expect any significant news. Several FOMC members are also scheduled to speak.
On Thursday the account of the ECB monetary policy meeting is released in the euro area and any details about the monetary policy decision on 10 March will be watched closely by the markets. Otherwise we expect Sentix investor confidence to stabilise after the latest improvement in risk sentiment. Euro area retail sales were likely unchanged in February.
In the UK PMI Services and NIESR GDP releases are set to draw attention, although their importance has declined due to the upcoming EU in/out referendum.
In China we expect FX reserve data to show a further stabilisation.
In the Scandies focus turns to Danish FX reserve figures, industrial production in Norway and household consumption in Sweden.
Global macro and market themes
Dovish central banks and a weaker dollar support global risk sentiment.
We see an emerging recovery in the highly important Chinese construction sector.
We remain positive on euro area government bonds in light of weak inflation expectations and scaling up of the ECB QE programme.
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