Economic calendar: Focus on ISM manufacturing data

• Markets rise as investors hope for central banks’ action

• US ISM expected to drop but hold above expansion-contraction threshold

• RBA may cut rates overnight

Risky assets rebound on Monday morning on hopes that global central banks will step in and provide additional stimulus. Markets are almost pricing a 50 bps Fed rate cut at the March 18 meeting. PMI data for February will be released throughout the European trading session but as these will be final release, no major market reaction is expected. US ISM is the key point of the US session while RBA rate decision will be closely watched during the next Asian session.

8:55 am GMT - Germany, manufacturing PMI for February (final). Preliminary release: 47.8 pts

9:00 am GMT - Euro area, manufacturing PMI for February (final). Preliminary release: 49.1 pts

9:30 am GMT - UK, manufacturing PMI for February (final). Preliminary release: 51.9 pts

2:45 pm GMT - US, manufacturing PMI for February (final). Preliminary release: 50.8 pts

3:00 pm GMT - US, ISM manufacturing for February. The US ISM release is a key point in today’s calendar. When it comes to the US, this measure is more closely watched than PMIs. February’s reading will show an extent to which production freeze in China spilled over to the United States. A reading is expected to show a drop from 50.9 to 50.4 pts. 

Asian session

• 3:30 am GMT - RBA rate decision