Services and Manufacturing PMIs are out on Wednesday at 11:30 MT time.
British households undergo the sharpest squeeze in three years
In July, UK households' financial situation has worsened at the fastest pace for three years because British families increasingly stay away from big purchases like household appliances and cars, as Monday’s survey revealed.
Financial data company IHS Markit informed its monthly Household Finance Index tumbled to 41.8 from June's outcome of 43.7, which is its lowest result since July 2014. It definitely reflects an everlasting squeeze on household incomes because wages can’t catch up with inflation.
There are evident signs that squeezed household budgets along with worries as for earnings have started spilling over to consumer spending patterns.
Wednesday’s official data showed that economic surge picked up moderately by the end of June. Experts surveyed by Reuters observe an expansion of 0.3% versus 0.2% in the first quarter, which is half Britain's long-term average surge rate.
The poll also unveiled that households' willingness to make big purchases went down to its lowest reading since December 2013.
The market sentiment is mixed as investors weigh US stimulus package against the rising infections and worse-than-expected US unemployment claims. Jump in for fresh analysis of EUR/USD, USD/JPY, S&P 500 and gold!
US Initial jobless claims will be announced on Thursday at 15:30 MT time.
The US dollar has broken through the key resistance, it failed to cross since March so far. Riskier assets are dipping. Let’s discuss it in detail.