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Danske Bank analysts point out that in the euro area, the ECB minutes from the June meeting are set to be released today and will be a key event for today.

Key Quotes

“At the press conference, Draghi stressed that the governing council (GC) discussed several options at the meeting including a rate cut and a restart of QE. Draghi in his Sintra speech sent a strong signal to markets that more stimulus is coming. Hence, markets will look out for clues in the minutes on how ready the GC stands in announcing immediate steps already at the 25 July meeting. We still lean towards an announcement of an easing package coming in September. Earlier in the day, ECB’s Coeuré will be speaking about ‘Inflation expectations and the conduct of monetary policy’.”

“In the US, CPI inflation figures are in focus. We expect CPI core rose 0.2% m/m in June, which translates into an unchanged annual inflation rate at 2.0%. A range of Fed speakers will be on the wires later in the evening and Fed Chairman Powell’s testimony continues today before the Senate Banking Committee.”