Markets Eye Growth Data Amid Borrowing Costs

The week ahead is quieter for central bank meetings, but key data points and economic updates will still set the tone for markets.

Wednesday's flash Purchasing Managers' Index (PMI) readings from Germany, the Eurozone, the UK, and the US will be crucial in determining whether growth holds up as borrowing costs climb.

The Eurozone manufacturing PMI is expected to show further improvement, which would add to the case for the European Central Bank keeping rates steady. Conversely, a soft reading from the UK or US could sharpen the divide between hawkish central bank rhetoric and the growth backdrop.

The Swiss National Bank's decision on Thursday will also be closely watched, as policymakers weigh a pickup in headline inflation against a currency that remains firmly anchored near zero.