Market Movers ahead
The minutes from the 29-30 July FOMC meeting due on Wednesday will attract attention, as the FOMC's communication took a more hawkish turn in the latest statement.
In the US we expect manufacturing PMI to stay unchanged at 55.8 in August and look for an increase in consumer prices. We expect the core CPI to increase 0.2% m/m and 2.0% y/y and the headline CPI to come out at 0.2% m/m and 2.1% y/y.
In the euro area we expect manufacturing PMI to increase marginally to 52.0, reflecting a slight increase in the output and new export orders index in July.
We expect the Chinese Markit/HSBC manufacturing PMI to improve to 51.9 in August from a final reading of 51.7 in July.
In Japan manufacturing PMI should give us some important information about the strength of the economy in the wake of hike in the consumption tax in April.
In Scandinavia, the main event next week will be the release of Norwegian Q2 GDP. We estimate that mainland GDP rose by 0.8% q/q in Q2, supported by higher global growth and a weaker NOK.
Global macro and market themes
Euro recovery weakened due to temporary external headwinds.
Short-term picture still weak but euro recovery to gain pace later this year.
US and Chinese recovery to moderate.
Risk appetite recovers for now while bond yields hit new lows.
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