The UK’s GDP data released yesterday showed that the monthly gross domestic product increased 0.3% on the month. The data beat estimates of a 0.2% increase and up from 0.1% previously. However, manufacturing production fell 0.2%. Construction output surprised, rising 0.5%. The data beat estimates of a 0.4% decline.
The British pound surged strongly on the day after reports of the EU Chief negotiator’s Michel Barnier’s comments about Brexit. The U.S. dollar eased back on the Brexit developments.
The EU trading session will start with the UK’s jobs report. Economists polled expect the UK’s unemployment rate to remain steady at 4.0%, unchanged from the previous month. Average earnings are forecast to rise 2.5% over the three months ending August.
In the Eurozone, the German ZEW economic sentiment is expected to show -13.4. The NY trading session is quiet with only the wholesale inventories report coming out. Canada will be releasing the housing starts data which is expected to rise 218k.
