Anticipating an announcement
- The Trump Twitter Feed has declared that a decision on Iranian sanctions will be made today. That is not an absolute guarantee, but the Trump Twitter Feed was quite precise on the timing. The European governments are trying to come up with a policy to mitigate US sanctions, should they be imposed.
- China's exports and imports both rose strongly in April. The data is volatile, as the Lunar New Year effects play out. At the margin, however, the data could be interpreted as signaling the ongoing health of the global economy. Certainly there is no support for the fears of a soft patch in global growth.
- German trade and production data for March are due. Many Germans spent March at home underneath the duvet with colds (or flu, depending on your interpretation). Trade data should not be seriously affected by that, but industrial production may suffer from fewer working days.
- US Federal Reserve Chair Powell is due to speak, but markets are not especially Fed focused. Liikanen of the ECB may be a little more interesting. ECB comments yesterday suggested that the central bank would make a summer announcement regarding plans to end its bond-buying program.