Economic calendar: US services ISM, DOE report

• European indices set for flat opening

• ISM services reading, DOE report on oil inventories

• Taiwan situation remains on watch

Futures markets point to a flat opening of the European cash session today. Taiwan remains in the center of attention. China announced that it will hold live fire drills around the island in the coming days in response to Pelosi's visit. While tensions between the United States and China are on the rise, chances of a direct military confrontation are rather slim. Nevertheless, markets are prone to swing on news headlines and traders should keep this headline risk in mind.

Economic calendar for the day ahead is packed with services sector survey data. Majority of those will be revisions to July PMI indices but US services ISM reading at 3:00 pm BST may trigger some additional volatility. Among key earnings reporters today one can find Robinhood, Moderna or Ebay.

8:15 am BST - Spain, services PMI for July. Expected: 52.0. Previous: 54.0

8:45 am BST - Italy, services PMI for July. Expected: 50.3. Previous: 51.6

8:50 am BST - France, services PMI for July (final). First release: 52.1

8:55 am BST - Germany, services PMI for July (final). First release: 49.2

9:00 am BST - Euro area, services PMI for July (final). First release: 50.6

9:30 am BST - UK, services PMI for July (final). First release: 53.3

10:00 am BST - Euro area, retail sales for June. Expected: -1.6% YoY. Previous: +0.2% YoY

2:45 pm BST - US, services PMI for July (final). First release: 47.0

3:00 pm BST - US, services ISM for July. Expected: 53.5. Previous: 55.3

3:00 pm BST - US, factory orders for June. Expected: 1.1% MoM. Previous: 1.6% MoM

3:30 pm BST - DOE report on oil inventories

• Oil inventories. Expected: -0.5 mb (API: +2.16 mb)

• Gasoline inventories. Expected: -1.6 mb (API: -0.20 mb)

• Distillate inventories. Expected: +0.9 mb (API: -0.35 mb)

Top Wall Street earnings reports

• Booking Holdings (BKNG.US) - after market close

• CVS Health (CVS.US) - before market open

• Ebay (EBAY.US) - after market close

• Marathon Oil (MRO.US) - after market close

• Robinhood Markets (HOOD.US) - after market close