World stocks fell again on Tuesday after their worst first-day performance in many years, extending losses as relief at intervention by China to steady its markets quickly evaporated in the face of mounting concerns about the global economy.
Despite a cash injection of around $20 billion the Chinese yuan fell to a new 4-1/2-year low in offshore trade.
The Chinese government is trying to manage the market moves and reduce volatility. However, the trend of slowing growth as manufacturing continues to perform poorly is clearly worrying traders.
German joblessness fell more than economists anticipated in December in a sign that economic momentum will continue to be underpinned by household spending. The number of people out of work declined by 14,000 to 2.757 million. Economists in a survey predicted a drop of 8,000. The unemployment rate remained unchanged at 6.3 percent, the lowest level since German reunification.
The number of Spaniards registered as unemployed fell by 55,790 in December, decreasing for a second month as businesses hired staff for the Christmas period, adding credence to Acting Prime Minister Mariano Rajoy’s job creation pledges. The decline was higher than the 50,000 drop forecast by economists. On a seasonally adjusted basis, the number of unemployed fell by 1,258. Overall, joblessness declined by 354,203 on an annual basis.
UK construction companies ended 2015 with a robust and accelerated expansion of overall business activity, thereby indicating a rebound from the slowdown recorded in November. 57.8 in December, up from a seven-month low of
55.3 in November. Higher levels of construction output have been recorded by the survey since May 2013, but the overall rate of expansion remained slightly weaker than seen on average over this period.
09.30 - GBP: Services Purchase Managers Index expected to come in at 55.6 down from 55.9
13:15 - USD: ADP Non-Farm Employment Change expected to come in at 193K down from 217k
15:00 - USD: ISM Non-Manufacturing Purchase Managers Index expected to come in at 56.0
19:00 - USD : FOMC Meeting Minutes