Economic data coming up in the European session
UK retail sales data due later today amid focus on risk sentiment
Currencies are looking more calm to so far with the aussie being the only notable mover amid a more solid labour market report earlier today. Other major currencies remain little changed as narrow ranges prevail for the most part.
That said, the risk mood remains soft and much like yesterday, keep an eye on the bond market. Treasury yields are lower again today with 30-year yields under 2% now.
I reckon that sentiment will eventually flow through across markets but you have to figure if the panic is a bit overdone. I mean it's not like a global recession is going to hit us tomorrow.
0630 GMT - Switzerland July producer and import prices
Prior release can be found here. A proxy indicator of inflationary pressures in the Swiss economy, which has been continuously weakening over the past year. A minor data point.
0830 GMT - UK July retail sales data
Prior release can be found here. Consumption activity is expected to slow after a surprise jump in June but much like the wages and inflation data from two days ago, the release here isn't going to shift the dial on the BOE outlook and the key factor for the pound remains that of Brexit uncertainty over the next few weeks. As such, don't expect any beat here to produce a lasting impact to lift the pound.
That's all for the session ahead. I wish you all the best of days ahead and good luck with your trading!
