ECB Expected to Cut Rates Amid Economic Challenges

This week is pivotal for global financial markets, with the European Central Bank (ECB) expected to cut interest rates by 25 basis points amidst economic challenges in the Eurozone, particularly Germany. In the U.S., major banks like Bank of America and Citigroup will report third-quarter earnings, while key economic data including retail sales and jobless claims will be released, potentially influencing Federal Reserve rate expectations. Meanwhile, China’s economic indicators, including GDP and inflation, are under scrutiny following disappointing CPI and PPI data. The geopolitical landscape, particularly tensions affecting oil prices, is also a major concern for investors, particularly in the context of foreign capital outflows from India. As earnings season accelerates, market sentiment will hinge on corporate performance amidst these economic signals. Overall, analysts predict that corporate earnings and inflation data will significantly drive market momentum this week.