Markets are poised for a quieter day as the macroeconomic calendar presents limited high-impact data releases, allowing traders to digest recent volatility. Attention will shift to select European economic indicators and speeches from Federal Reserve officials later in the day. The ongoing Gulf conflict continues to create uncertainty, dampening risk appetite and contributing to a cautious market sentiment.
Key data points include Hungary’s wage growth, Eurozone’s current account balances, and Italy’s foreign trade figures, which may provide insights into regional economic health. However, with no major releases expected, the focus will likely remain on Fed comments, which could introduce volatility in currency and bond markets.
Traders should prepare for potential shifts in sentiment following the Fed speeches, particularly from San Francisco Fed President Mary Daly and Richmond Fed President Tom Barkin. Overall, the day is expected to be characterized by consolidation, with market participants awaiting clearer directional cues.
Source: xtb.com