A glimpse of the day ahead in European and global markets from Vidya Ranganathan The week ends with pretty much the same buzz around artificial intelligence and the US debt diplomacy it started with. Stock markets were taking a breather after the boom forecast excitement from Chipmaker NVIDIA Corp NVDA.O, which strengthened the NASDAQ's best day in three weeks, and the rally that followed. Japan's Nikkei , however, retained its momentum after data showed inflation pouring in and well above policy targets. But according to a person familiar with the talks, all eyes are on the US debt ceiling debate, with President Joe Biden and top lawmaker Kevin McCarthy looking just like $70 billion apart with discretionary spending. The deal comes down to the wire, which is a moving target. Treasury's announcement of a bill auction slate early next week has caused some market participants to refer to the debt ceiling as "X-date," the so-called "X-date". Treasury's cash balance is just 49, It fell to $47 billion. The agreement is not final and is a sticking point, as are the labor requirements for anti-poverty programs, funding for the internal revenue service to hire more auditors and target wealthy Americans. But funding continues for discretionary spending on military and veterans, according to sources. U.S. spending on health, retirement, and other benefits programs has grown steadily in recent years, but negotiators in debt-ceiling talks are trying to curb other domestic and military spending. Meanwhile, markets are less confident that the Federal Reserve will continue to wait for rates in June. The CME Fedwatch tool now increases the chances of the quarter point rate to rise from more than 50% to 5.25-5.50% on June 14. Key economic indicators on Friday include the US Commerce Department's Personal Consumption Expenditure price index figures for April, which could show a small increase similar to March. Key developments that could affect the markets on Friday US PCE Price Index ECB's Philip Lane and Croatian Central Bank Governor Boris Vujcic Speak at Events Vidya Ranganathan; Editing by Edmund Klamann Our standards Thomson trust principles. Gotopnews.com