Market movers for the day – Danske Bank

Research Team at Danske Bank, notes that Theresa May spent her first day as Prime Minister of the UK reshuffling the cabinet.

Key Quotes

“The market will continue to watch out for any news from her today and the new ministers on economic policy and the strategy towards the UK s negotiations exit from the EU.

Out of the bulk of key figures for the US economy due for release today, the Empire manufacturing index and University of Michigan consumer confidence index may attract the most attention. The two figures cover July and are among the first data points following the UK's vote to leave the EU and will thus give an indication of whether the uncertain political situation in Europe has influenced the US economy.

The governor of the St. Louis Federal Reserve, James Bullard (voter, neutral), is set to speak today. He has voiced concerns over declining inflation expectations. In that respect, the market may therefore also take notice of the sub-component in the above-mentioned consumer confidence survey covering inflation expectations, which has been on a downward trending path recently.”