Below are listed the most important events which will likely influence the market sentiment this week:
Monday, July 20
Canada is to report on wholesale sales. The Wholesale Trade gauges the change in the total value of sales at the wholesale level. Canada seems to be doing well in this sector: the values for this indicator have been rising since March 2015. Last month’s prediction was 0.3 % and the actual (1.9 %) – much higher. As the Wholesale Trade is the leading gauge of consumer spending, retailers are expected to order more goods from wholesalers as they expect consumer sales to rise.
Tuesday, July 21
The Reserve Bank of Australia will issue the minutes of its latest monetary policy meeting. They will provide in-depth insights into the economic conditions that influenced their decision on where to set interest rates.
Switzerland is to publish data on the trade balance.
The U.K. is to release a report on public sector borrowing.
Wednesday, July 22
Australia is to publish data on consumer price inflation. A change in price of goods and services purchased by consumers is expected after the RBA Reserve Bank Board’s most recent meeting. This could lead to inflation, which is important to currency valuation because rising prices lead the central bank to raise interest rates out of respect for their inflation containment mandate.
Also in Australia, central bank governor Glenn Stevens will speak at a public event.
The Bank of England is to publish the minutes of its July policy meeting.
The U.S. is to release private sector data on existing home sales as well as a government report on crude oil inventories. Analysts expect existing home sales in June to match the 0.9% May increase in the pending home sales index, resulting in an annualized sales rate of 5.400 million.
Thursday, July 23
The Reserve Bank of New Zealand is to announce its benchmark interest rate and publish its rate statement. It will contain the outcome of the decision on interest rates and commentary about the economic conditions that influenced their decision, but most importantly, it will discuss the economic outlook and offer clues on the outcome of future decisions.
Japan is to report on the trade balance.
Spain is to issue its quarterly employment report.
The U.K. is to release data on retail sales.
Later Thursday, the U.S. is to report on initial jobless claims.
Canada is to publish data on retail sales. The Core retail Sales a.k.a. Retail Sales Ex Autos estimate a shift in the total value of sales at the retail level, excluding automobiles. Last month’s data was lower than expected – -0.6 % (a forecast of 0.3 %).
Friday, July 24
New Zealand is to report on the trade balance. The Trade Balance measures the difference in value between imported and exported goods during the reported month. The difference between forecast (-90M) and actual (350M) last month is quite obvious.
China is to post the preliminary reading of the HSBC manufacturing index.
The euro zone is to release survey data on private sector activity.
France and Germany are to issue Flash Manifacturing PMI.
The expansion in the French economy is a fact, according to the actual value of 54.1 last month, comparing to the forecast, which was lower.
The expectation for the German Flash Manifacturing PMI was 51.5 last month – quite right as the actual was 51.9. Sustainable country – sustainable economy.
The U.S. is to terminate the week with reports on manufacturing activity and new home sales. Many analysts expect new home sales to be virtually unchanged in June at an annual rate of 545K.
