Morning Juice – Europe Session Prep

Good Morning Traders! This Tuesday we get another quiet session, with German Gfk data and comments from ECB’s Elderson.

Here is the sentiment for the day.

Sentiment

According to Jeffrey R. Schmid, President of the Federal Reserve Bank of Kansas City, the US central bank should be cautious in lowering interest rates due to high inflation and a healthy labour market.

In January, Japan’s benchmark inflation gauge exceeded expectations, indicating that the Bank of Japan should go forward with removing its negative interest rate policy.

Japan’s two-year bond yield has reached its highest level since 2011, with speculation that the central bank may end its negative-interest-rate policy in the coming months.

Inflation in UK stores has dropped to its lowest level since March 2022, providing relief for households as merchants increase deals and pass on decreased prices.

Oil prices stabilised after a recent increase, with physical market strength underpinning the overall sentiment.

The US government is rapidly approaching another shutdown unless Congress agrees fresh money by the looming deadlines of March 1 and March 8. With the Democratic-led Senate and Republican-led House still far apart on the issues, another temporary funding patch or a shutdown are becoming increasingly plausible.

Docket

02:00 ET
German Gfk Consumer Sentiment
Median Forecast -29 | Prior -29.7

Speakers

07:00 ET
ECB’s Elderson Speaks

Good Luck today, Traders!