In addition, Germany's IFO surveys and the ECB bank lending surveys on Wednesday are also key, “with the latter a good update on credit creation in the Eurozone and it may help shape the ECB's near-term thinking.” write Macro Strategy Analysts J. Reid and C. Tan at Deutsche Bank. A Global Investment Forum will be held in the UK on Thursday ahead of the Olympics this Friday. Draghi, King, Lagarde, HSBC's CEO, and Google's Chairman are some of the scheduled speakers.
In the US the Markit PMI is out tomorrow and it will be interesting to see if this now follows the ISM below 50. In reality though a lot of attention will be on the first reading of the Q2 GDP on Friday. The market is expecting the US economy to grow at an annualized rate of 1.4% in Q2, which would be down from 1.9% in Q1. According to the analysts, “We are still experiencing one of the slowest recoveries in history which is worrying given that this one has seen the greatest amount of stimulus on record.” This question looms in the United States, already in the midst of an election year.