What you need to know before the open
European markets are expected to head higher this morning, nearing multi-year highs.
Investors remains intently focused on the European Central Bank’s next policy meeting next week, holding back slightly incase the expected stimulus plan next week isn’t as aggressive as the market is anticipating.
German retail sales dropped unexpectedly in April, down 0.9 per cent month-on-month. March saw a 0.1 per cent rise in March and economists were expecting a 0.2 per cent increase.
Berenberg’s Christian Schulz says repeating the first quarter boom “will be a challenge”.
Meanwhile, consumer confidence in the UK reached a nine-year high this month, outperforming expectations.
Corporate news
A quiet morning, but car dealer Caffyns saw a 40 per cent jump in profit before tax, to £1.5m, as sales continue to increase.
Data in focus
- 1.30pm: US April personal income and spending
- 2.45pm: US May Chicago purchasing managers’ index
- 2.55pm: YS May Reuters/Michigan consumer sentiment index
- 7.00pm: US Fed’s Lacker speech
- 10.00pm: US FOMC member Williams speech