It will be a relatively quiet week for economic events. The main focus of investors will be the US inflation rate data. Economists expect the annual inflation rate to be moderate and show little change. The UK is due to release monthly GDP data for June and the overall second quarter. Geopolitics will also play an important role - local military conflicts have intensified over the last month: Armenia-Azerbaijan, Israel-Gaza, China-Taiwan, Serbia-Kosovo, and the full-scale war in Ukraine does not stop after the Russian invasion.
Monday, August 08
On Monday, there are no important economic events at the European and American sessions, so the volatility in the financial markets is likely to be quiet.
Main events of the day:
- New Zealand Inflation Expectations (q/q) at 06:00 (GMT+3);
- Switzerland Unemployment Rate (m/m) at 08:45 (GMT+3).
Tuesday, August 09
On Tuesday, the only interesting event will be the Australia NAB Business Confidence. The European and US trading sessions will not be any important events, so the attention of investors will be concentrated on the last stage of the earning season in the US. It’s a bank holiday in Singapore.
Main events of the day:
- Australia NAB Business Confidence (m/m) at 04:30 (GMT+3).
Wednesday, August 10
The most important Wednesday release for investors will be inflation rates in China and the United States. Analysts predict that the inflation rate in the US will remain at about the same value. But in China, the strategies expect an increase in consumer prices. 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);
- China Consumer Price Index (m/m) at 04:30 (GMT+3);
- China Producer Price Index (m/m) at 04:30 (GMT+3);
- US Consumer Price Index (m/m) at 15:30 (GMT+3);
- US Crude Oil Reserves (w/w) at 17:30 (GMT+3).
Thursday, August 11
On Thursday, investors should keep a close eye on the US Producer Price Index data, which shows the rate of inflation at producers and, in some ways, is a more important report than the Consumer Prices Index because producers are the first to suffer when prices rise. Analysts are predicting a slowdown in PPI growth, which will be the Fed’s first sign of interest rate hikes. It’s a bank holiday in Japan.
Main events of the day:
- US Producer Price Index (m/m) at 15:30 (GMT+3);
- US Initial Jobless Claims (w/w) at 15:30 (GMT+3);
- US Natural Gas Storage (w/w) at 17:30 (GMT+3).
Friday, August 12
On Friday, traders will be closely watching the monthly UK GDP report. After the Bank of England warned last week that it expects the economy to enter a 15-month recession later this year, analysts expect a slowdown in GDP. Investors should also keep a close eye on the Prelim Consumer Sentiment from the University of Michigan. This data will indicate how households are faring as rising price pressures.
Main events of the day:
- 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);
- Eurozone Industrial Production (m/m) at 12:00 (GMT+3);
- US Michigan Consumer Sentiment (m/m) at 17:00 (GMT+3).
This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.
