What are the main events for today? | investingLive

In the European session, the main event will be the BoE’s policy announcement. The central bank is expected to cut by 25 bps and reaffirm its “gradual and careful” approach on easing which would be in line with their strategy of cutting rates on a quarterly basis. For the vote split, the consensus sees 2 votes for no change and 7 votes for a rate cut (there could be 1 or 2 voting for a 50 bps cut).

The UK
data has been mixed with inflation surprising to the upside, while the employment data disappointing. The market is expecting another rate
cut by the end of the year.

In the American session, the focus will switch to the US Jobless Claims figures. Initial Claims are expected at 221K vs 218K prior, while Continuing Claims are seen at 1950K vs 1946K prior. The data has been reaffirming a “low firing, low hiring” labour market which is kind of expected given the uncertainty around tariffs. It’s going to be interesting to see how that evolves in the next weeks and months as that uncertainty should now be cleared.

Today’s data might also trigger a rethink on the NFP in case we get strong figures, while weak data will likely be interpreted as a confirmation of a deterioration and therefore solidify expectations for rate cuts.

Central bank speakers: