Wednesday preview: Chancellor's summer economic update in focus

The focus in financial markets will be on the Chancellor, Rishi Sunak, as he delivers his summer economic update.

In particular, investors will be looking for any pledges of funding for additional stimulus measures, including new employment schemes or a reduction in value added tax.

Regarding the latter however, Michael Hewson at CMC Markets UK noted that there was zero evidence available that it would boost consumption given companies' propensity to leave prices unchanged and pocket the difference.

Sunak could come under pressure regarding the furlough scheme, amid concerns that a wave of firings could ensue towards the autumn.

Wednesday's economic calendar is otherwise expected to be quite sparse.

No economic data releases are scheduled in the US.

In the UK meanwhile, only the Recruitment and Employment Confederation's Permanent Staff placememts and salaries indices for June are due out.

Across the Channel, the sole relevant economic indicator due out will be the French central bank's industrial sentiment gauge for June.

On the other side of the globe, overnight figures for Japan's May current account surplus should be forthcoming along with the Economy Watchers' Index for June.

Wednesday 08 July

INTERNATIONAL ECONOMIC ANNOUNCEMENTS

Consumer Credit (US) (20:00)

Crude Oil Inventories (US) (15:30)

MBA Mortgage Applications (US) (12:00)

FINALS

Liontrust Asset Management, U And I Group

AGMS

Boku, Inc (DI) Reg S Cat 3/144A, First Derivatives, Steppe Cement Ltd