Political Risk Set To Dominate The Agenda

Published 09/11/2018, 03:10 AM
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Market movers today

It is a relatively light day on the data front. Financial markets will focus on political events , such as the Brexit negotiations, where EU negotiator Michel Barnier yesterday flagged optimism about a deal in six to eight weeks' time, and the possible announcement by US President Trump of new tariffs on Chinese imports .

In the euro area , German ZEW Economic Sentiment data is due for September. Our main focus will be on economic expectations, which saw a rebound in July and it will be interesting to see whether this trend has continued, especially in light of the decreasing risk of a US-EU trade war

The UK jobs report is due out today. We estimate the unemployment rate (3M (NYSE:MMM) average) was unchanged at 4.0%. Average weekly earnings excluding bonuses (3M average) surprised on the upside last time, so we think the monthly increase will decline but it should still be sufficient to lift the annual growth rate to 2.8% y/y from 2.7% y/y.

In Norway , Norges Bank's regional network survey (10.00 CEST) is the final piece in the puzzle before the rate setting meeting on 20 September.

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