Economic Data: This week’s focus is on US basket data, UK jobs and GDP data!

Economic Data: This week's focus is on US basket data, UK jobs and GDP data!

This week, the US basket of economic data will be released, including CPI, retail sales and industrial production. Which might add some volatility, although the data could have mixed implications for the decision making of the Fed.  Towards the end of the euro area, surveys are likely to show weakness in industrial production data. In Great Britain, the Bank of England is paying attention to wage growth.

High impact data and event schedule this week- What’s this week’s Economic Data?

Tuesday – key US and UK CPI data.

The Bank of England will be closely monitoring next week’s wage growth figures, in particular those covering the private sector, as it continues to mull over the timing of its first rate cut.

The UK is to release its latest jobs report on Tuesday. The market and the Bank of England alike focusing on wage growth amid speculation over the timing of a first rate cut.

Average hourly pay decelerated to a rate of 6.2% in December, the slowest pace of growth in over a year, but not slow enough to convince BoE officials that interest rates – at 16-year highs – will need to come down sooner rather than later. Now, the data is foreseen at 5.7% from previous 5.8%. It could have a slightly negative impact on the pound.

US markets are reacting strongly to US inflation economic data as they try to gauge how quickly the Fed might start cutting interest rates.

Economists expect February’s CPI to rise 0.4% after 2010 -final year faster than expected growth of 0.3% in January. Core CPI (m/m) is expected to fall 0.3% from 0.4% last year.

On an annual basis, CPI data is up 3.1% from last year.

On Thursday, Federal Reserve Chairman Jerome Powell said that would probably be appropriate. to raise interest rates “at some point in the future” to be downgraded, but made it clear that he and his colleagues are not ready yet.

Wednesday –Eurozone Industrial production

It’s a light week for Eurozone economic data, but industrial production is interesting to watch. Production grew massively in December, erasing a full year of decline. However, this was mainly due to manufacturing figures from Ireland, which is known for its volatility due to contract manufacturing and outsourcing.

The main focus is on Eurozone industrial production data for January. The December report showed a large increase in production, erasing the decline of the entire year.

The data is expected to decrease by 1.4% compared to an increase of 2.6%. That could have a negative impact on the euro.

Another strong reading would be an encouraging sign of UK GDP growth in the first quarter. Q1 GDP is likely to be positive when we get those numbers in a few months, marking the end of the UK’s very low-tech recession. The data should be 0.2 percent of the 0.1 percent contraction. The data could be positive for the pound.

Thursday – US Core PPI m/m, Retail Sales m/m

The US is due to release data on retail sales for February, which is expected to rise 0.8% after a 0.8% drop earlier in the month. The economic calendar also includes updates to Core PPI m/m, PPI m/m. Core retail sales m/m and weekly data on first jobless claims same day.

Core PPI is expected to fall 0.2% from 0.5% previously, while PPI m/m is flat at 0.3%.

US unemployment benefits are also the same on the day, the data is expected to be 218,000 from 217,000 earlier, which could have a neutral effect on the dollar

Friday – US Preliminary UoM Consumer Sentiment

Markets enter strongly in the Empire State Manufacturing Index. Economists expect economic growth of -7.6 from the previous -2.4. Industrial production m/m data is forecast to be 0.0% from the previous decline of 0.1%.

Consumer production for the forecast year is forecast to be 77.3%, slightly 76.9%. the above information may affect the dollar differently.

Commodity Samachar
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