TD Securities’ macro team expects June US Retail Sales to stagnate at 0.0% month-on-month, versus the consensus 0.2%. They see weakness led by the control group, negative gasoline sales from falling prices, and a drop in food services, partly offset by strong auto sales.

United Kingdom 10-y Bond Auction up to 5.04% from previous 4.858%

EUR/CAD extends its gains for the second successive day, trading around 1.6100 during the European hours on Thursday.

Commerzbank’s Volkmar Baur notes that the New Zealand Dollar has recovered about 2 cents since the latest rate hike, with markets now effectively pricing in nearly one additional hike by year-end.

Italy Trade Balance EU up to €0.845B in May from previous €0.316B

Italy Global Trade Balance above expectations (€4.5B) in May: Actual (€4.793B)

Spain 3-y Bond Auction: 2.867% vs 2.772%

United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann note that AUD/USD has broken above significant resistance at 0.7015, with price action extending to 0.7021. In the next 24 hours, the Australian Dollar is expected to stay in a higher 0.6985–0.7025 range.

Societe Generale’s Kenneth Broux highlights that EUR/GBP has extended its decline after breaking a Head and Shoulders neckline at 0.8610, with the move now seen as stretched. The cross has dropped to a 0.84 handle, its lowest since June last year, a 4.5% fall since November.

Spain 30-y Bond Auction increased to 4.286% from previous 4.038%

Bank of England (BoE) Deputy Governor Sarah Breeden said during the European trading session on Thursday that the United Kingdom (UK) inflation would have been at the central bank’s 2% target if the Middle East war had not happened.

The Swiss Franc (CHF) appears to remain muted following the release of the SNB meeting minutes. In the European trade, USD/CHF rises to near 0.8066 due to slight gains in the US Dollar (USD).

Turkey Budget Balance up to 114.2B in June from previous -298.2B

Italy Consumer Price Index (MoM) meets forecasts (0%) in June

Italy Consumer Price Index (YoY) in line with forecasts (3%) in June

Italy Consumer Price Index (EU Norm) (YoY) came in at 3% below forecasts (3.1%) in June

Italy Consumer Price Index (EU Norm) (MoM) registered at 0%, below expectations (0.1%) in June

According to an Iranian army spokesperson, the United States (US) continues to attack several areas, while warning that the war will spread to new arenas, the Islamic Republic News Agency (IRNA) reported. The spokesperson also said that Tehran has no confrontation with neighboring states.

Deutsche Bank notes that softer US producer inflation prompted a dovish Fed repricing, supporting the S&P 500 near record highs. Strong BlackRock earnings and an Apple-led mega-cap rally offset semiconductor weakness, while Asian markets declined as chip stocks extended their sell-off.

Commerzbank’s economists highlight India’s new USD13.3bn India Semiconductor Mission 2.0, aimed at building a full-stack semiconductor ecosystem, though they judge near-term growth impact as limited.

United Kingdom Total Trade Balance increased to £-1.044B in May from previous £-8.435B

United Kingdom Index of Services (3M/3M) above forecasts (0.6%) in May: Actual (0.7%)

The UK Gross Domestic Product (GDP) grew by 0.1% MoM in May, following a 0.1% decline reported in April, the latest data published by the Office for National Statistics (ONS) showed on Thursday.

United Kingdom Trade Balance; non-EU up to £-7.14B in May from previous £-13.048B

United Kingdom Goods Trade Balance came in at £-18.66B, above expectations (£-23.6B) in May

United Kingdom Manufacturing Production (YoY) above forecasts (1.9%) in May: Actual (2.3%)

United Kingdom Industrial Production (MoM) below forecasts (-0.1%) in May: Actual (-0.5%)

United Kingdom Manufacturing Production (MoM) came in at 0.1%, above forecasts (-0.2%) in May

United Kingdom Industrial Production (YoY) below forecasts (1.2%) in May: Actual (1%)

United Kingdom Gross Domestic Product (MoM) meets forecasts (0.1%) in May