According to analysts at TD Securities, in a quiet week for the data calendar, markets will be watching US durable goods alongside the ECB rate decision.
Key Quotes
“Unfortunately, we don’t expect many fireworks from the ECB at Draghi’s final meeting, but it is still likely to be a dovish one with growth and inflation disappointing. A quiet data calendar may keep the focus on Brexit, as we edge closer to October 31st.”
“For precious metals, a quiet week could argue for some downside in gold as the breadth of technical indicators pointing long edges off the highs and as momentum signals wane.”
“For base metal and energy markets, the Markit manufacturing data in Europe and the US will likely be the main economic drivers. Indeed, given the global manufacturing is in recession, along with the recent contraction in the US ISM data, further weakness in manufacturing data will likely keep markets on the defensive as weak data continues to hold a firm grip on demand expectations in the mind of commodity investors. But, aside from the data, any additional updates on the “Phase One” trade deal could still have an impact on the margin.”
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