Daily Market Report - 23/11/2015

EUR
On Friday, European Central Bank President Mario Draghi's speech and European Central Bank accounts on Thursday showed the euro-area's central bank is open to doing more to stimulate the region's economy given it sees downside risks to inflation, putting even more emphasis on next week’s ECB meeting. 

At the December 3rd meeting the policymakers' options include cutting the deposit rate and extending or expanding its bond-buying programs (QE), as well as buying new assets.

Dirk Schumacher, an economist at Goldman Sachs Group Inc, says finding the right mix of measures is important as the ECB needs to stay credible while Gilles Moec, chief European economist at Bank of America Merrill Lynch in London, warns the wrong mix could spur renewed questions about debt sustainability in the periphery.

New Confederation of British Industry (CBI) director General Carolyn Fairbairn has publically put pressure on Prime Minister David Cameron over in/out vote for the EU referendum, warning that investment is beginning to suffer at the hands of a protracted renegotiation.

GBP
The UK had no significant data out on Friday; however we have a big week ahead in anticipation of George Osborne's autumn statement being released on Wednesday. 

Osborne will update the nation on his economic policies which include cuts to departmental budgets but he apparently faces a struggle to meet the £10bn surplus forecast target. 

Osborne has refused to deny that his goal to end two decades of budget deficits with a £10bn surplus by 2020 was sliding out of reach, amid increased spending on counter-terrorism and the NHS, as well as roadblocks in the House of Lords for his £4.4bn welfare cut.

Key Announcements
09:00 - USD: Markit PMI Manufacturing (Nov) expected to fall to 53.9 from 54.1