Friday preview: Single currency, euro area economic data in focus

The Friday after Christmas is expected to remain quiet in London, with little left on the corporate and economic calendar that might rouse traders from their festive stupor.

No major UK company updates are scheduled, with the stock market closing at 1230 GMT and equity investors not expecting much until the following week when the first trading updates are due from the retail sector for this crucial shopping period. European and US bourses will trade their normal hours on Friday.

On the economic side of things, German inflation figures for December on Friday are expected to show a moderation to a harmonised rate of consumer prices of 1.4% year-on-year from 1.8% in the month before, having broken above 2% in February and sunk to 1.5% in October.

November's bounce was primarily driven by energy prices and so economists at Danske Bank expect inflation to moderate again to 1.6% in December, ahead of the Eurozone inflation figures due for release on 5 January.

"Overall, we expect headline [euro area] inflation to remain in the range of 1.1-1.4% y/y on a monthly basis throughout 2018, as long as underlying inflation pressure remain muted."

Euro area money supply figures for November are also due out.

Normally, neither of those reports would be expected to have much of an impact on financial markets, but given holiday-thinned trading volumes, the single currency could conceivably get one final boost ahead of the end of the year.

Friday December 29

INTERNATIONAL ECONOMIC ANNOUNCEMENTS
Import Price Index (GER) (06:00)
M3 Money Supply (EU) (08:00)

INTERIM DIVIDEND PAYMENT DATE
First Property Group, Kainos Group , LXI Reit , MS International, Palace Capital

QUARTERLY PAYMENT DATE
Albion Technology & General VCT, F&C Commercial Property Trust Ltd., HICL Infrastructure Company Ltd, Honeycomb Investment Trust, MedicX Fund Ltd., NextEnergy Solar Fund Limited Red, Premier Global Infrastructure Trust, RM Secured Direct Lending, The Renewables Infrastructure Group Limited

EGMS
Eco (Atlantic) Oil & Gas NPV (DI)

AGMS
Andalas Energy and Power, Eco (Atlantic) Oil & Gas NPV (DI), Regency Mines, Regency Mines, Sabien Technology Group, Secure Property Development & Investment (DI), Trading Emissions

FINAL DIVIDEND PAYMENT DATE
Foresight VCT Infrastructure Shares, Foresight VCT Planned Exit Shares, Royal Bank of Scotland 11% Cum. Prf, Royal Bank of Scotland 5.5% Cum. Prf., Royal Bank of Scotland Ser 1 Non-Cum Eur Prf (144a)