Today is a slow start to the week with no top tier figures being released. However, since the tragic death of MP Jo Cox, we have seen the Pound rally. Over the weekend, the Pound soared against the Dollar and the Euro, in the wake of the latest surveys. This suggests that the remain campaign is ahead in the run-up to Thursday’s Brexit vote.
Tuesday starts with Germany releasing their ZEW Economic Sentiment at 10am. This is expected to decrease to 5.1, from last month’s figure of 6.4. At 2pm, attention will turn to the ECB’s President, Mario Draghi, as he testifies on future Monetary Policy in Brussels. Undoubtedly, the markets will be watching for any comments relating to any concerns of Brexit. One hour later, the Federal Reserve Chair, Janet Yellen, is due to testify on the Semiannual Monetary Policy Report before the Senate Banking Committee. Again, any comments on the UK’s referendum will be heavily scrutinized, as well as any insight into their future interest rate decisions.
Wednesday is another fairly quiet day in terms of top tier data. At 3pm, Yellen will be reiterating the same testimony as the day before, this time in front of the Financial Services Committee. Shortly after the Crude Oil Inventories figure being released.
Throughout the course of the day, the United Kingdom will vote on the much anticipated Referendum to decide if it continues to be a part of the European Union. The result will likely be projected before the official vote is announced, based on early vote counts and exit polling. At 1:30pm the US Weekly Unemployment claims will be released, but this is likely to have little effect, being overshadowed by the Referendum.
In the early hours of the morning, the official Referendum vote will be released. There will be immense volatility around this event and the markets will be analyzing any data released, hoping for an early indication of the result. Following on from this, the German Ifo Business Climate will be released. This is forecast to register at 107.6, and later in the afternoon the week with the monthly US Core Durable Goods Orders figure.