The upcoming week is packed with important economic events and announcements that could have a significant impact on global markets. Here’s a breakdown of some key events to watch out for:
– On Monday, we’ll see the release of Chinese Industrial Profit data for June.
– Tuesday will bring important economic indicators such as the Japanese Unemployment Rate for June, Australian Building Approvals data for June, Spanish Flash CPI for July, and more.
– Wednesday is a big day with several major announcements including the FOMC Announcement, BoJ Announcement and Outlook Report, and BCB Announcement. Additionally, we’ll see data releases such as Chinese NBS PMI for July, Australian CPI for Q2, and more.
– On Thursday, the focus will be on the BoE Announcement, US Unit Labor Costs for Q2, Chinese Caixin Manufacturing PMI for July, and US ISM Manufacturing PMI for July.
– Finally, on Friday, all eyes will be on the US Jobs Report for July.
One key focus for investors will be the Eurozone Flash Q2 GDP data, with expectations for a slight slowdown in growth. Analysts are looking for signs of stability in energy prices, lower inflation, and stronger wage growth to support the region’s economic recovery.
The Treasury’s Quarterly Refunding announcement on Wednesday will provide insights into future borrowing needs and potential changes to fiscal outlook. Analysts expect coupon auction sizes to remain unchanged, but there is anticipation for updates on the debt ceiling reinstatement and Treasury’s buyback plans.
The FOMC Announcement on Wednesday is expected to keep rates unchanged, despite recent easing in price pressures. Former officials have urged the central bank to cut rates, citing concerns about the labor market and inflation levels. The BoJ Announcement on the same day is anticipated to maintain the policy rate, with discussions on taper plans and rate hike possibilities in the coming months.
The BoE Announcement on Thursday could kick off a rate cutting cycle with a 25bps reduction in the Base Rate. Mixed economic data and lack of clear guidance from MPC members make the decision uncertain. Market pricing suggests two rate cuts are fully priced by year-end.
The OPEC+ JMMC meeting on Thursday is unlikely to recommend changes to current output policy. Weak oil prices and sluggish demand are key concerns, with Russia submitting a schedule for compensating overproduction.
Overall, the upcoming week is crucial for global markets, with a range of economic data and central bank announcements that could shape investment decisions and market sentiment. Investors will be closely monitoring these events for insights into the economic outlook and potential policy changes.