In the week ahead, investors will be watching interest rate decisions by the Reserve Bank of Australia and the Bank of England. The euro zone is to release data on retail sales, while Germany is to publish official data on industrial output and factory orders. China is to release closely watched government data on inflation.
Monday, May 6
Markets in Japan are to remain closed for a national holiday. Australia is to produce official data on retail sales, the government measure of consumer spending, which accounts for the majority of overall economic activity. The euro zone is to produce official data on retail sales. Spain is to release government data on the change in the number of people unemployed, while Spain and Italy are to release data on service sector activity. ECB President Mario Draghi is to speak in Rome; his comments will be closely watched. Markets in the UK are to be closed for the May Day holiday. Canada is to release official data on building permits as well as a report on the Ivey PMI, a leading economic indicator.
Tuesday, May 7
The RBA is to announce its benchmark interest rate. The rate announcement is to be accompanied by the bank’s rate statement, which contains important insights into current and future economic conditions from the bank’s perspective. Australia is also to publish official data on the trade balance and house price inflation. New Zealand is to release data on labor costs, a leading indicator of consumer inflation. The Swiss National Bank is to release data on foreign currency reserves, which gives a valuable insight into the scale of the bank’s currency market operations. Switzerland is also to publish its SECO index of consumer climate and government data on the unemployment rate. In the euro zone, Germany is to release official data on factory orders, while France is to produce data on industrial production.
Wednesday, May 8
The Reserve Bank of New Zealand is to publish its bi-annual financial stability report. The UK is to release private sector data on retail sales, an important economic indicator. Switzerland is to release official data on consumer price inflation, which accounts for the majority of overall inflation. In the euro zone, Germany is to produce official data on industrial production, while markets in France are to remain closed for a national holiday.
Thursday, May 9
Both Australia and New Zealand are to release government data on the change in the number of people employed and the unemployment rate, a leading economic indicator. China is to release official data on consumer price inflation, which accounts for the majority of overall inflation. Markets in France, Germany and Switzerland are to remain closed for national holidays. The ECB is to publish its monthly bulletin, while Spain is to hold an auction of 10-year government bonds. The UK is to release official data on manufacturing and industrial production, leading indicators of economic health. In addition, the BoE is to announce its benchmark interest rate. Later Thursday, Canada is to release official data on new house price inflation. The US is to publish the weekly government report on initial jobless claims.
Friday, May 10
The RBA is to publish its monetary policy statement, which outlines the factors that influenced the bank’s rate decision. Japan is to publish official data on the current account. The UK is to release government data on the trade balance. Canada is to release government data on the change in the number of people employed and the unemployment rate, a leading economic indicator. The US is to round up the week with data on the federal budget balance. Also Friday, finance ministers and central bank heads from the Group of Seven nations are to hold the first day of a two day summit meeting.