Fed Minutes and UK Q3 GDP amongst market movers this week – Danske Bank

Research Team at Danske Bank, lists down the key market movers for this week from across the globe.

Key Quotes

“While we await greater clarity about what policies to expect under the incoming Trump administration, next week will bring manufacturing and services PMIs in both the US and the Euro area, which we expect to show that the business cycle was on an upward trend, even before Trump won the election.”

“In the US, we will get data for the preliminary core capital goods orders for October, Markit PMI manufacturing and service indices for November as well as Fed minutes. We expect the manufacturing sector to have continued improving in November, while a constant service index should still point to solid growth in the US service sector. In the Fed minutes, we will look for clues to the Fed’s 2017 outlook, now that a hike in December is almost priced in.”

“In the Euro area, we will get numbers for consumer confidence, PMI manufacturing and German Ifo business expectations. Consumer confidence may weaken a bit with increased political uncertainty in the US and Europe. We expect the manufacturing sector and Germany business expectations to improve further compared with October.”

“In the UK, we do not have many important data releases next week. Still, we look forward to the release of the second estimate of GDP growth in Q3 on Friday. On Wednesday, Chancellor Hammond makes the autumn statement to Parliament, which could point to weak fiscal developments in the UK limiting fiscal stimulus options.”