Mr. Bernanke hinted clearly this time that steady rates should help promote moderate growth and stabilize price stability over time, while also stressing the need for a strong dollar, as it could help limit the adverse effect of rising commodity prices especially oil prices!

Meanwhile the Euro Zone continue to impress as after reporting an annualized 2.2% growth yesterday, the Purchasing Managers Index for services continued to show expansion in the Euro area and Germany the area's largest economy.

PMI rose in Germany to 53.8 in May slightly better than the previous and the expected estimate of 53.7, while for the Euro Zone services PMI rose 50.6 inline with the prior and the expected estimate.

However retails sales came worse than expected in the Euro Zone, retail sales dropped in April by 0.6% after dropping 0.4% the prior month and much below the 0.2% gain expected, while compared with a year earlier retail sales dropped 2.9% also worse than the 0.8% expected drop and the 1.6% drop reported previously.

Moreover the U.K also released their services PMI which came showing a contraction in May, PMI dropped to 49.8 worse than the expected 50.5 and the previously reported 50.4, the U.K economy continues to suffer a severe slowdown as the BOE expected, however the BOE are tied as they also battle skyrocketing inflation.

The BOE will announce their interest rate decision tomorrow, expectations are for steady rates since the BOE are yet to find their balancing act until further developments emerge, yet the fact that the services sector is slowing given that it represents nearly 3/4 of the U.K economy should even make the situation even more complicated for the MPC to deal with.

As for the ECB, they still have more room to maneuver upside risks to inflation while downside risks to growth remain on the back of their minds, the ECB are expected to leave their interest rates steady at 4.00 percent, as they are still feel comfortable to hold rates even as prospects that the global slowdown would eventually hit the Euro Zone lands!

The services day will continue later today from the United Stats, as the ISM are due to announce their services index, moreover the ADP should provide us with some hints over the current situation in the labor market especially as the Feds themselves signaled more weakness in the labor market to be expected.