What you need to know before the open – 03/10
European markets are set to open mixed, with the FTSE slightly up. Things have calmed somewhat in Italy after Berlusconi climbed down, agreeing to support Enrico Letta.
The dollar remains down as eyes are still on the US, with concessions failing to be forthcoming in budget talks and markets bracing for ongoing shutdown.
ETX Capital #morningcall FTSE+15, DAX -6, CAC2, IBEX,-5 DOW-21 , S&P-2.5
— ETX Capital (@ETXCapital) October 3, 2013
#FTSE called up 5 points. #EUR rally continues as does US budget stalemate. #GBPUSD breaks above 1.62 – next upside target 1.64.
— David Morrison (@jmoz62) October 3, 2013
In the UK, today's services PMI is, like manufacturing and construction PMI's for September, expected to come in strong – unchanged at 60.5. This figure is optimistic, raising expectations of a near one per cent rise in GDP for the third quarter, and continuing to show signs of recovery.
Key events:
- French market services PMI for September at 7.48. Expected at 50.7, up from 48.9.
- Eurozone market PMI composite for September at 8.58. Expected at 52.1, up from 50.7.
- UK market services PMI for September at 9.28. Expected unchanged at 60.5.
- Eurozone retail sales for August at 10.00. Expected at 0.3 per cent, up from 0.1 per cent.
- US initial jobless claims for September this afternoon. Expected at 315,000, up from 305,000.
- US factory orders and ISM non-manufacturing PMI for September at 3.00.