Figures released during the month of June showed investors pulled more from UK investment funds than at any time during the financial crisis of 2007/08. The Investment Association released figures showing that retail investors redeemed 3.5 billion in June, this being mostly equities followed by property. With six weeks having passed since Brexit,
Governor of the Bank of England Mark Carney will present on Thursday a detailed assessment of the implications of the vote leave decision as well as his plan of action going forward. This plan will be heavily centered around trying to remedy weak growth and speed up inflation.
The dollar struggled near 6-week lows against a basket of currencies on Wednesday due expectations that the U.S. Federal Reserve will raise interest rates later rather than sooner decreased.
The dollar's softness followed a weak showing by Wall Street overnight, with indexes suffering their worst day in roughly a month in the wake of unconvincing economic data and falling oil prices.
U.S. consumer spending rose but the markets focused more on Tuesday's lacklustre inflation numbers. Economists say this, together with weak business investment and the second quarter's anemic economic growth rate, could encourage the Fed to keep interest rates at current low levels for a while.
The banks of Europe are again in the spotlight as profits sink. About two-thirds of Europe’s largest banks have lost more than 20 percent this year alone, behind only energy and mining companies as the biggest losers this year.
09:30 - GBP - Services PMI is forecast to stay the same at 47.4
13:15 - USD – ADP Non-Farm Employment change is forecast to decrease to 171K from previous of 172K
15:00 - USD – ISM Non-Manufacturing PMI is forecast to decrease to 56.0 from previous of 56.5
15:30 - USD – Crude Oil Inventories