The upcoming week ahead is very quiet with a few significant events, the U.S. and U.K. GDP and the U.S. durable goods. Moreover, the week ahead starts very quietly with limited news coming out. The U.S. Chicago Fed national activity index, the Canadian wholesale sales for June and the Australian CB leading indicator are coming out.
[B]Tuesday[/B] is a Markit PMI day. The flash Markit services and manufacturing PMIs from Eurozone, Germany and U.S. are scheduled for release. In Eurozone, both the services and manufacturing sectors are expected to keep the same pace of growth as before 52.0 and 52.9 respectively. In Germany, the services PMI is expected to remain stable as well at 54.4 while the manufacturing sector is forecasted to have a slight decrease at 53.5 from 53.8 before. Eurozone’s consumer confidence is expected to remain in the negative territory, but to show a small improvement to -7.5 in August from -7.9 before.
A while later the U.S. manufacturing PMI is expected to reveal a small decrease at 52.7 from 52.9 before. The new home sales for July are anticipated to decline to 580K in July from 592K in June. Overnight the New Zealand will release its trade balance report for July, including the total amount of export and imports for the month.
Early on [B]Wednesday [/B]morning, the German GDP growth for the second quarter is coming out, expected to meet initial forecasts of 0.4% qoq and 3.1% yoy. No other news is scheduled for the Euro area. Going to U.S., the BBA mortgage approvals, as well as the house price index, are coming out. The existing home sales are forecasted to fell marginally to 5.56M in July versus 5.57M before.
On [B]Thursday[/B], the German IFO Survey will publish its results for August. The business expectations are expected to increase to 102.5 from 102.2 the month before, the current assessment to 115.0 from 114.7 while the business climate to 108.5 from 108.3. At 12:30 GMT, the U.S. durable goods orders will be closely watched. The orders are predicted to rise 2.9% in July compared to a drop of 3.9% the month before. Later in the day, the weekly jobless claims will be released as usual.
On [B]Friday [/B]morning, the German Gfk consumer confidence survey for September will be released. The main events of the day are the U.K. and U.S. flash GDP growth for the three months from April to June. No changes are expected to the U.K. economic growth. The quarter-over-quarter indicator stands at 2.2% while the annual at 0.6%.
The U.S. GDP growth is forecasted to slip marginally to 1.1% from 1.2% the previous quarter. A while after, the final Michigan consumer sentiment index for August is coming out. Fed Chairwoman Janet Yellen will give a speech which will be closely watched.
