Summary:
- Industrial production releases from several countries from Europe to be reported during the day
- Productivity and labour costs data from the US (final)
- ZEW index from Germany for December
7:00 am GMT - Norwegian inflation for November: It appears that the Norges Bank is already done with rate hikes after delivering the last one in September. The Scandinavian bank underlined then that further moves in rates to the upside seemed unlikely given a global slowdown. Anyway, ones clouds start moving away and domestic price pressures mount one may imagine the Norges Bank restarting its tightening cycle in 2020. Therefore, today’s inflation release seems to be of note. The consensus points to a slight deceleration in headline price growth to 1.7% from 1.8% YoY.
7:45/9:00/9:30/10:00 am GMT - Industrial production for October from France/Italy/UK/Greece: There is no doubt that manufacturing is the heart of the ongoing economic slowdown, thus market participants keep eyeing this topic as they try to find some signs of a possible recovery. However, no such signs have occurred so far and we have recently even heard about possible investment spending cuts among US manufacturers for the first time in more than a decade. Overall, another set of gloomy releases is expected to be reported today.
10:00 am GMT - German ZEW for December: The consensus suggests the index, presenting moods among financial market experts, could bounce back slightly to -22 from -24.7. A modest improvement is also expected in expectations.
1:30 pm GMT - US non-farm productivity and unit labour costs for Q3: There will be final prints of both figures this afternoon, hence their impact on financial markets ought to be rather negligible. Either way, such data can tell us much about domestic price pressures in the US economy and firms’ capacity to push wages up. Keep in mind that unit labour costs have been a good predictor for inflation in the world’s largest economy.
Central bankers’ speeches:
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3:00 pm GMT - ECB’s Visco
