Week Ahead with Inflation, Monetary Policies, and Trade Balance in Focus

Market watchers are eagerly awaiting a plethora of economic indicators from significant places throughout the world as the global economy faces uncertain times. Analysts anticipate a 0.4% increase in headline inflation for April when the Bureau of Labor Statistics releases statistics on consumer and producer prices in the United States. The preliminary survey of consumer confidence and inflation predictions for May from the University of Michigan will be widely watched. Core inflation is also anticipated to increase by 0.4%. The Bank of England will announce its monetary policy decision across the Atlantic, and analysts anticipate a 25 basis point increase. Despite initial difficulties in February and March, preliminary data from the Office for National Statistics is predicted to show a small expansion in the British economy during Q1.

NewsOTG gathered the updated Consumer Price Index (CPI) data for Germany is anticipated to reveal that inflation has slowed to an eight-month low. Industrial production is anticipated to decline in March after increasing for the previous two months. Other important economic indicators in Europe include the Halifax house price index for the United Kingdom, the final inflation and trade balance figures for France, the industrial output and unemployment rate for Turkey, and the consumer price index for Russia. Further details on China’s ongoing economic recovery will be revealed through the country’s April trade balance, inflation rate, and credit growth numbers. Investors in Japan will keenly scrutinize the Minutes and Summary of Opinions reports from the Bank of Japan for any potential changes in policy under the new governor of the central bank.

Base effects on the price of food and energy are probably going to maintain India’s inflation rate below the Reserve Bank of India‘s 6% maximum cap in the interim. Additionally, South Korea and the Philippines will publish information on unemployment, and Malaysia will provide GDP growth figures. In Australia, attention will move to the April business confidence statistics from the National Australia Bank and the May consumer confidence figures from Westpac. At the same time, New Zealand will release data on business confidence for April, revealing how the country’s small enterprises are faring.