Good Morning Traders! This Friday we get UK GDP and retail sales data.
Here is what to expect from today.
Sentiment
Japan's inflation slowed as expected, while services showed evidence that underlying price increase is spreading more evenly throughout the economy, a crucial trend tracked by the central bank despite continued speculation that it could reduce its support in the coming months.
According to minutes of the Bank of Japan's October policy meeting published Friday, board members agreed that an increased virtuous cycle between earnings and prices is required to reach the 2% inflation objective.
A new round of huge bank deposit rate cuts has boosted Chinese government bonds, sending some ultra-long rates to their lowest levels in over two decades, as the move may direct investment towards the debt market.
According to transaction data compiled by global financial messaging service Swift, the Chinese yuan surpassed the yen as the currency with the fourth-largest percentage of international payments in November for the first time since early 2022.
In the most recent week, banks borrowed a record amount from the Federal Reserve's newest backstop facility, as rising bets on interest-rate decreases made it a more appealing option.
Money-market fund assets declined for the second week in a row, led by institutional government funds, as the year's final quarterly corporation tax payment approached.
Oil prices fell as traders weighed rising US output against OPEC disruption and the potential of Red Sea ship threats.
Docket
02:00 AM ET
UK GDP YoY
Median Forecast 0.6% | Prior 0.6% | Range 0.6%/0.6%
UK GDP QoQ
Median Forecast 0%| Prior 0% | Range 0%/-0.1%
UK Retail Sales YoY
Median Forecast -1.3%| Prior -2.7% | Range -0.4%/-2.4%
UK Retail Sales MoM
Median Forecast 0.4%| Prior -0.3% | Range 1.5%/-0.6%
UK Core Retail Sales MoM
Median Forecast 0.3%| Prior -0.1% | Range 0.8%/-1.0%
Good Luck today, Traders!
