Private sector output in Germany maintained strong growth momentum in January, fueling optimism over the health of the euro zone's largest economy, preliminary data showed on Wednesday. The preliminary German services purchasing managers’ index rose to a nearly seven-year high of 57.0 this month from 55.8 in December, easily topping expectations for a reading of 55.6 The flash manufacturing purchasing managers’ index declined to 61.2 from a final reading of 63.3 in December. Analysts had expected the index to slip to 63.2 in January.
In the US session Existing Home Sales data was published. Existing home sales declined 3.6 percent to a seasonally adjusted annual rate of 5.57 million units last month amid decreases in all four regions. Unseasonably cold weather probably accounted for some of the weakness as sales in the Northeast and Midwest fell sharply. November’s sales pace was revised down to 5.78 million units, still the highest level since February 2007. Economists polled by Reuters had forecast home sales falling 2.2 percent to a 5.70 million-unit rate in December from a previously reported 5.81 million-unit pace in November.
Focus of tomorrow's session will be on ECB interest rate decision and the following press conference, though no changes are expected. In the US session Unemployment Claims figures will be published. Analysts predict incline to 239,000.
Figures to watch:
Minimum Bid Rate/ECB Press Conference (Thursday 14:30)
Unemployment Claims (Thursday 14:30)
Last modified on Wednesday, 24 January 2018
