US ISM non-manufacturing and BoC rate decision in focus – Danske Bank

In the US, the ISM non-manufacturing index in August is due out today and will be a key economic releases in addition to the BoC rate decision according to analysts at Danske Bank.

Key Quotes

“We believe the fall in July was too big and that it will have recovered some of the lost ground in August. Hence, we estimate the ISM non-manufacturing will come in at 55.0, which is also in line with what the PMI services for August indicates. Tonight at 20:00 CET, the Fed is due to release the Beige Book ahead of the FOMC meeting later this month.”

“We expect the Bank of Canada to keep the policy rate unchanged at 0.75% in light of the reduced outlook for another Fed hike this year. We still pencil in one 25bp hike in Q4 this year.”