- Macro: Equity markets had a positive day yesterday with the S&P500 +0.47% and the Nasdaq +0.94% as the market reacted to the US-Vietnam trade deal, whilst Europe rose +0.18%. Ahead of the July 4th Independence Day holiday, today is a busy day for economic releases. In Europe we get final French, German, EU and UK Service and Composite PMIs, then in the US we have Trade Balance, Non-Farm Payrolls (106K est.), US Unemployment rate (4.3% est.), Initial Jobless Claims (241K ext.), Continuing Claims (1962K est.), US Services PMI (53.1 est.), ISM Services Index for June (50.6 est.), Factory Orders (0.2% ex Trans est.), Durable Goods Orders (0.5% est. ex Trans). From the central bankers, Bostic is speaking from the Fed and Escriva from the ECB.
- Debt: European yields rose with a spike in UK yields following confusion about the Chancellor’s position and control of the UK fiscal deficit. US yields rose despite weaker than expected ADP Employment data, as the Trump tax cut and spend bill moved through Congress.
