Final services, composite PMI readings in the euro area are due

Investors are not giving up on the recent risk rally just yet and the economic reopening is spurring more positive vibes as we continue to get the week sorted.

The yen is leading gains to start the day after a bit of a run lower in USD/JPY earlier, but overall movement in the currencies space remains more tepid for now.

Most dollar pairs are trading near unchanged levels as we see S&P 500 futures trade little changed on the day as well. Risk will be the key factor once again but expect data from Europe to reflect soggy tones before we get to the US ADP employment change later.

0600 GMT - Germany March factory orders data

Prior release can be found here. Factory orders are expected to slump heavily amid a fall in regional activity, with expectations of a 10% monthly drop seen. March and April data should just continue to reaffirm soggy conditions in the euro area economy in general.

0715 GMT - Spain April services, composite PMI

0745 GMT - Italy April services, composite PMI

0750 GMT - France April final services, composite PMI

0755 GMT - Germany April final services, composite PMI

0800 GMT - Eurozone April final services, composite PMI

We already know that April is arguably the worst month impacted by the fallout from the virus outbreak and lockdown measures. But as these are final readings, they shouldn't have much of a heavy impact to shift the dial in the market upon release later today.

0830 GMT - UK April construction PMI

Prior release can be found here. Construction activity is expected to slump further than in March amid lockdown measures going into full effect in the UK economy.

0900 GMT - Eurozone March retail sales data

Prior release can be found here. Expectation is for retail sales to slump heavily despite the surge in necessities purchases pre-lockdown. This should also spill over to April conditions as lockdown measures go into full effect, shutting down businesses.

1100 GMT - US MBA mortgage applications w.e. 1 May

Weekly US housing data, measures the change in number of applications for mortgages backed by the MBA during the week. Not the biggest of data points, but a general indicator of the housing sector sentiment.

Also, the European Commission will release their latest set of economic forecasts at 0900 GMT but much like other forecasts recently, just be wary that the coronavirus situation is still very fluid and any outlook for the time being should be taken lightly.

That's all for the session ahead. I wish you all the best of days to come and good luck with your trading! Stay safe out there.