Morning Juice – US Session Prep (21st May)

Sentiment
The dollar remained relatively unchanged as investors waited to see if the United States and Iran would strike a deal to reopen the Hormuz Strait. Treasuries rose in tandem with gains in global bond markets. Investors are waiting for statistics on US PMI, unemployment claims, and the Philadelphia Fed’s business outlook survey, as well as remarks from Federal Reserve officials Austan Goolsbee and Tom Barkin, which will be released later today. A rally in US shares halted, while oil prices rose and bond yields fluctuated as traders waited to see if hopes for a Middle East peace deal would convert into meaningful movement. Business activity in the eurozone fell at its fastest rate in two and a half years, adding to concerns that the Iran war and related spike in energy costs may give a major blow to the economy.A Bank of Japan survey of market participants indicated a divide on whether the central bank should halt tapering its bond purchases or continue to lower them beginning in April of next year, after staying with its present strategy until then

Docket
08:30 ET
US Weekly Jobless Claims
Initial Claims – Forecast: 210k | Prior: 211k | Range: 215k / 200k
Continued Claims – Forecast: 1.787M | Prior: 1.782M | Range: 1.8M / 1.733M

09:45 ET
US S&P May Prelim PMIs
Manufacturing – Forecast: 53.8 | Prior: 54.5 | Range: 55 / 52.9
Services – Forecast: 51.1 | Prior: 51 | Range: 52 / 49.4

13:00 ET
US sells $19 bln 10-Year TIPS
Prior High Yield: 1.896%
Prior Bid-to-cover: 2.47

Speakers
11:00 ET
BoE’s Governor Bailey delivers a speech at the Cutler’s Feast in Sheffield.

Trump participates in an Announcement with the Administrator of the Environmental Protection Agency

11:20 ET
Fed’s Goolsbee speaks in a radio interview with WBEZ

11:30 ET
ECB’s Elderson speaks at the University of Oxford in Oxford.
Slides will be made available on the ECB’s and banking supervision websites.

12:20 ET
Fed’s Barkin speaks on the economy to the Urban Land Institute Triangle
Text: Yes. Q&A: Yes

12:30 ET
Trump participates in a Lunch with the Administrator of the Environmental Protection Agency
Closed Press

14:00 ET
Trump participates in an Ambassador Credentialing Ceremony
Closed Press

Good luck!