Danske Bank analysts point out that in the US and the UK, CPI figures for October are due out and will be key economic release for the markets.

“US CPI core has surprised on the upside in recent months, but we do not expect this to be the beginning of a new trend given the low inflation expectations and look for an unchanged inflation rate at 2.4%. In the euro area, markets will look out for a decision by US President Trump on whether or not he will impose European car tariffs. Latest hints from US Commerce Secretary Ross and EU Commission President Juncker suggested that Trump will postpone his decision yet again into next year, after 'good conversations' with car manufacturers about potential production relocations. Should the tariffs be implemented, it would be a major hit for the already fragile European manufacturing sector. Figures out today will likely confirm that the industrial recession has extended into Q3, although it seems to have stopped intensifying. Fed chair Powell will address the Joint Economic Committee of Congress today. We expect him to reiterate that the current monetary policy stance is appropriate in the absence of further deterioration in the data.”