In the European session, we just have the Switzerland CPI report. The CPI Y/Y is expected at 0.3% vs 0.2% prior, while the M/M figure is seen at -0.2% vs -0.1% prior. This won’t change literally anything for the SNB, so the reaction will likely be muted. We will also get the Eurozone unemployement rate which is expected to remain steady at 6.2% and won’t change anything for the ECB in case we get a tick higher or lower.
In the American session, we were supposed to get the US Jobless Claims report but given the government shutdown, the US Labor Department said that it won’t release the data. The only other data to be released today is the Challenger Layoffs Announcements. This is a low tier report and almost never a market-moving release. Given that we have to work with private sector data, it might be slightly more important today but this report can be misleading.
The announced layoffs in the report are not carried out in weeks but spread out over many months or even years. Moreover, in case the economic conditions improve, the announced layoffs might not happen at all. That’s why it’s usually ignored by the market. If the shutdown continues into the weekend, then the only other important data we’ll get is the ISM Services PMI tomorrow
