Week’s main events (July 10 – July 14)

Last week, investors were mainly focused on the FOMC minutes and Nonfarm Payrolls data. A strong labor market report increases the likelihood of another two hikes by the US Fed. This week, the main focus of investors will be on inflation data in the United States, Germany, and China. Also, this week the Central Banks of Canada and New Zealand will meet on interest rate decisions. Analysts expect New Zealand’s Central Bank to leave rates unchanged, while the Bank of Canada may resort to another 0.25% rate hike. Investors should also keep on the start of the US earning period for the second quarter of 2023. JPMorgan Chase (JPM), Citigroup (C), and Wells Fargo (WFC) will report second-quarter earnings Friday. Analysts expect the results to be worse because of low earnings as well as the layoffs of thousands of employees amid the banking crisis.

Monday, July 10

On Monday, investors‘ attention will be focused on the speeches of officials from the Central Banks of the United Kingdom and the United States. Also, at the beginning of the trading day, inflation data will be released in China. No surprises are expected, but volatility in Asian indices may increase.

Main events of the day:

– China Consumer Price Index (m/m) at 04:30 (GMT+3);
– China Producer Price Index (m/m) at 04:30 (GMT+3);
– US FOMC Member Daly Speaks at 18:30 (GMT+3);
– US FOMC Member Mester Speaks at 18:00 (GMT+3);
– US FOMC Member Bostic Speaks at 19:00 (GMT+3);
– UK BoE Gov Bailey Speaks at 22:00 (GMT+3).

Tuesday, July 11

The most important Tuesday release for investors will be Germany’s inflation data as well as the economic forecast from the ZEW European Institute, which is an essential indicator of the health of Europe’s economy. Analysts expect further declines as EU countries slowly slide into recession. Analysts expect a further rise in inflation in Germany. Investors should also not miss the UK labor market data.

Main events of the day:

– Australia NAB Business Confidence (m/m) at 04:30 (GMT+3);
– UK Average Earnings Index (m/m) at 09:00 (GMT+3);
– UK Claimant Count Change (m/m) at 09:00 (GMT+3);
– UK Unemployment Rate (m/m) at 09:00 (GMT+3);
– German Consumer Price Index (m/m) at 09:00 (GMT+3);
– German ZEW Economic Sentiment (m/m) at 12:00 (GMT+3);
– Eurozone ZEW Economic Sentiment (m/m) at 12:00 (GMT+3);
– US FOMC Member Bullard Speaks at 16:00 (GMT+3).

Wednesday, July 12

Wednesday will bring various statistics for many countries. The most influential release for investors will be the inflation data in the United States. The Fed’s future decisions will depend on this data. A further decline in inflation is expected. Traders will also keep a close eye on the meetings of the Central Banks of Canada and New Zealand. Analysts expect a 0.25% rate hike from the Bank of Canada, while the RBNZ is likely to leave the rate unchanged as the economy is already in recession. Also, traders should not miss the US Crude Oil Inventories data, which significantly impacts oil prices.

Main events of the day:

– Japan Producer Price Index (m/m) at 02:50 (GMT+3);
– New Zealand RBNZ Interest Rate Decision at 05:00 (GMT+3);
– New Zealand RBNZ Rate Statement at 05:00 (GMT+3);
– Australia RBA Governor Lowe Speaks at 06:10 (GMT+3);
– UK BoE Financial Stability Report at 09:00 (GMT+3);
– UK BoE Gov Bailey Speaks at 11:00 (GMT+3);
– US Consumer Price Index (m/m) at 15:30 (GMT+3);
– US FOMC Member Kashkari Speaks at 16:45 (GMT+3);
– Canada BoC Interest Rate Decision at 17:00 (GMT+3);
– Canada BoC Monetary Policy Report at 17:00 (GMT+3);
– US Crude Oil Reserves (w/w) at 17:30 (GMT+3);
– Canada BoC Press Conference at 18:00 (GMT+3);
– US FOMC Member Mester Speaks at 23:00 (GMT+3).

Thursday, July 13

The most important Thursday release for investors will be the US Producer Price Index, which displays the level of inflation between productions. Analysts expect the US PPI index to add 0.2%. Investors should also pay attention to the UK quarterly GDP data and ECB Monetary Policy Meeting Accounts.

Main events of the day:

– China Trade Balance (m/m) at 06:00 (GMT+3);
– UK GDP (m/m) at 09:00 (GMT+3);
– UK Industrial Production (m/m) at 09:00 (GMT+3);
– UK Manufacturing Production (m/m) at 09:00 (GMT+3);
– UK Trade Balance (m/m) at 09:00 (GMT+3);
– Eurozone Industrial Production (m/m) at 12:00 (GMT+3);
– Eurozone Eurogroup Meetings at 13:00 (GMT+3);
– Eurozone ECB Monetary Policy Meeting Accounts at 14:30 (GMT+3);
– US Initial Jobless Claims (w/w) at 15:30 (GMT+3);
– US Producer Price Index (m/m) at 15:30 (GMT+3);
– US Natural Gas Storage (w/w) at 17:30 (GMT+3).

Friday, July 14

Friday will be a relatively quiet day. Investors should also keep a close eye on Switzerland Producer inflation data and also US Michigan Consumer Sentiment. It’s a bank holiday in New Zealand and France.

Main events of the day:

– US FOMC Member Waller Speaks at 01:45 (GMT+3);
– Japan Industrial Production (m/m) at 07:30 (GMT+3);
– Switzerland Producer Price Index (m/m) at 09:30 (GMT+3);
– Eurozone Trade Balance (m/m) at 12:00 (GMT+3);
– US Michigan Consumer Sentiment (m/m) at 17:00 (GMT+3).

by JustMarkets, 2023.07.10

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