Risk on for the start of the week
Good morning, afternoon and evening. I shall be keeping the feed warm for Justin while he is on a well deserved break for the rest of this week. Not only have we had clock changes this week, I am also re-orientating myself between three timezones this week with travel to Dubai, Malaysia and the UK all sandwiched into the week. I hope my body clock doesn't get too confused!
To start the week Asian equities are broadly higher as the risk on sentiment settles in further. The US-China phase 1 trade deal is now 99% there. In other words, everything seems virtually done, apart from the signature, as Adam pointed out earlier (Adam not usually around this time as he is covering for Eamonn on his holiday).
The calendar ahead for the European session is fairly light with some manufacturing PMI's. After a run of poor European manufacturing PMI's we should start to see these pick up as optimism over the US-China phase 1 deal starts to trickle in with new orders. Data releases ahead as follow (all times in GMT):
08:50: France Manufacturing PMI
08:55: Germany Manufacturing PMI
09:00: Swiss Total sight deposits
09:00: Eurozone manufacturing PMI
09:30: UK construction PMI
Central bank speakers
08:00: ECB's Hernandez is speaking in Madrid. Not expecting anything much here until we get Draghi's replacement, Christine Lagarde making her stamp on the ECB's moves going forward. His last comment I have record of was when he was warning of an imminent recession in some Eurozone countries.
