Markets are reacting to macroeconomic data and Fed comments.

The Fed Chair, Kevin Warsh, emphasized the importance of expanded supply and its potential consequences for monetary policy. His comments were interpreted as a signal that the Fed may be inclined to maintain the current level of interest rates, which is reflected in current market expectations. There is a 72.7% probability that rates will remain in the range of 3.50-3.75% at the upcoming FOMC meeting on July 29 (Warsaw time). Such messages are crucial in the context of stabilizing inflation and supporting economic growth.

Today's macroeconomic data from the USA was mixed. The final PMI index for the manufacturing sector was 53.9, which is below the expected level of 55.7. Also, the ADP employment change data was weaker than expected, with a result of 98 thousand compared to the forecasted 120 thousand. This information suggests that the pace of economic growth may be slowing, which could influence the Fed's decisions regarding monetary policy. Investors should therefore pay attention to the upcoming releases of labor market and industrial data.

In Europe, the preliminary CPI indicator for the eurozone indicated a further slowdown in inflation, reaching 2.8% year-on-year, which is lower than the projected 3%. The core index also fell to 2.4%. Such results may ease pressure on the European Central Bank regarding interest rate hikes. In Germany and France, the PMI indicators for the industry showed increases, reaching 50.3 and 51.2 respectively, indicating stability in the industrial sector. In China, the PMI slightly dropped to 51.7, which may suggest a slowdown in economic activity. This data is significant for global supply chains and may influence investment decisions.

The U.S. Energy Information Administration (EIA) reported that crude oil inventories fell by 3.775 million barrels, which was a larger decline than expected. Nevertheless, previous data indicated even deeper declines, which may suggest some stabilization in the oil market. This data may impact energy commodity prices and is significant for global markets that monitor the balance between supply and demand in the energy sector.

Tomorrow, investors should monitor further releases of macroeconomic data, especially from the labor market, which may influence expectations regarding future Fed policy. Comments from central banks will also be crucial, as they may provide insights into future actions regarding interest rates and inflation. The situation in the commodities market, especially oil, also remains in focus.