USD: Anticipation for Index Data
The US dollar quote will be heavily influenced by two critical data points - the Purchasing Managers' Index (PMI) and Non-Farm Payrolls. Traders will closely monitor the deviation between forecasted and actual figures, which could lead to significant movements in the USD by the week's end. Additionally, the financial sector may experience additional fluctuations with the US reporting season already underway.
EUR: A Data-Rich Week
This week promises a wealth of PMI reports from various European countries, including Italy, Germany, Spain, and France, as well as the overall Eurozone report. Forecasts suggest that unemployment rates in the Eurozone will remain unchanged.
China: Focus on PMI
China's manufacturing sector PMI rose to 49.3 points in July, up from 49 points in June. However, it's important to note that this indicator has remained below the crucial threshold of 50 points for four consecutive months, indicating continued challenges for the Chinese economy.
GBP: Interest Rate Decision
Monetary policy takes centre stage this week for the UK. The Monetary Policy Committee will vote on the interest rate change, and a forecast suggests a potential increase to 5.25%. Market participants will also eagerly await the Bank of England's monetary policy report.
Brent: Monitoring OPEC+ Meeting
On 4 August, the OPEC+ alliance will hold a Monitoring Committee meeting to assess the current state of the oil market and discuss recommendations on oil production and alliance policy. Traders will closely monitor any announcements impacting Brent crude oil prices and the energy sector.