In the European session, we only have Eurozone CPI data, which is generally not a market-moving release. The main events will be in the US session as Waller from the Fed will speak, the release of the US ADP data and later in the day the minutes of the FOMC meeting.
13:00 GMT/08:00 ET – Fed’s Waller (Neutral – Voter)
Federal Reserve Board Governor Christopher Waller speaks on the economic outlook ahead of the Governors’ Lectures hosted by the Organization for Economic Co-operation and Development (OECD) in Paris, France. Waller is a key Fed governor because he has been a “leading indicator” for Fed policy changes and signals.
Fed’s Waller
13:15 GMT/08:15 ET – US December ADP
US ADP is expected at 140,000 versus 146,000 previously. Although ADP has a poor track record in forecasting NFP, the market’s sensitivity to labor market data makes it a market-moving event. However, I don’t see the change in market prices further lowering expectations based on labor market data (unless it’s too hot). The main event this month will be the US CPI due next week.
US ADP