The week ahead the economic calendar looks pretty busy with inflation and employment reports from numerous countries scheduled for release. Moreover, Federal Reserve, Reserve Bank of Australia and Bank of Japan will publish the minutes of their last policy meetings.
[B]Monday [/B]is Whit day in Europe, thus, liquidity will be thin across the Europe. On the second half of the trading session, in U.S., the NAHB Housing Market Index for May is expected to show a small improvement to 59 from 58 before. The Bank of Canada will release its quarterly review for the Canadian economy and the central banking. Overnight, the Reserve Bank of Australia will publish the minutes of the last policy meeting when the policymakers cut the benchmark interest rate decision by 25bp to 1.75% after being unchanged for almost a year.
On [B]Tuesday [/B]morning, all the attentions will be on sterling as the final UK inflation rate for April will be released. Compared to the year before, consuming prices are forecasted to have increased by 0.5% as in March, while compared to the month before the analysts forecasted an increase of 0.3% from 0.4% before.
Other important economic indicators coming out are the producer price index input and output and the retail price index for April. In Eurozone, the Trade Balance for March will be released. Going to U.S., the final inflation rate for April will be published. The year-over-year indicator is predicted to rose to 1% from 0.9% before and month-over-month to jump to 0.4% from 0.1% before.
The U.S. manufacturing and industrial production of April, as well as the capacity utilization, are coming out. Overnight, Japanese economic growth for the first quarter is predicted to show an expansion of 0.1% qoq against a contraction of 0.3% before.
On [B]Wednesday[/B], the UK employment report will be published. No changes are expected to the ILO unemployment rate for the three months to March. The average earnings including bonus for March are forecasted to have risen 1.7% from 1.8% the month before. The unemployed people in UK are expected to have increased by 4.0K in April less than last month’s increase of 6.7K.
In Euro zone, the inflation rate for April will be released and the analysts forecasted that Euro zone as whole will remain in deflation for the second month in a row following a flat month in March.
In U.S., the highlight of the day is the FOMC minutes of the last policy meeting. During the night, Australia’s employment report will be published and the unemployment rate is forecasted to rise up to 5.8% in April from 5.7% before while the employment change is expected to show that economy added than half number of jobs in April than in March.
On [B]Thursday[/B], in UK, the retail sales for April are expected to show an increase of 0.5% compared to the month before that declined by 1.3%.
The European Central Bank will release its monetary policy meeting accounts while in U.S. the weekly jobless claims and the CB leading indicator will be released. During the afternoon, Fed’s William Dudley will give a speech and later in the day, the Bank of Japan will publish its monetary policy meeting minutes.
Finally, on [B]Friday[/B], the Eurozone’s current account will be released during the morning. Thereafter, attention turns to Canada where they will release the retail sales for March and the inflation rate for April. In U.S., the existing home sales change for April are expected.