Review of the key events for the upcoming week 07.09 - 13.09
Main events of the upcoming week
The situation on the financial markets remains unstable. Last week, strong growth in the US stock market was interrupted by large-scale sales. The US dollar remains very vulnerable due to intensified internal political struggle, economic uncertainty and statements of the FRS about a possible strengthening of economic stimulus measures.
In the upcoming week, investors will be able to take a little break from American problems. Labor Day will take place on Monday in the USA and Canada. During the week, investors will watch the publication of macroeconomic data from Asia and Europe.
The central event of the week will be the ECB meeting and the final press conference of Christine Lagarde.
In the US, the most significant event of the week will be the publication of data on the consumer price index on Friday.
09.09. Canada - Bank of Canada meeting
Experts do not expect big surprises from the meeting of the Bank of Canada. After a sharp cut in the interest rate in March from 1.75% to 0.25%, the regulator does not make major adjustments to the monetary policy. At a meeting on Wednesday, the Central Bank is likely to keep the interest rate at 0.25%. The regulator's statements after the meeting may have a stronger impact on trading.
09.09. US - EIA report
Despite the decline in oil inventories for the 6th week in a row, there is growing concern in the market regarding further recovery in US energy demand. The latest EIA report showed that fuel consumption in the US is declining due to the end of the summer season. The situation may worsen due to the temporary suspension of some refineries.
As part of the monthly report, EIA will announce the results of the oil sector in August and will adjust short-term forecasts for the development of the situation in the energy market.
10.09. EU - ECB meeting
The European financial regulator has been adhering to a soft monetary policy for a long period of time, therefore, in the context of the economic crisis, the range of response tools remains limited. The regulator is expected to leave the main parameters of the monetary policy unchanged at the upcoming meeting. The main attention of the market will be focused on the final press conference of the ECB, at which the regulator will announce the assessment of the current situation and, possibly, signal about further plans to adjust some parameters of monetary policy.
11.09. USA - consumer price index for August
Inflation data is one of the key indicators that determine the FRS monetary policy. In recent weeks, the FRS has been signaling a change in its long-term approach to inflation targeting. Previously, the regulator quickly made adjustments to the interest rate in the event of inflation growth above the target of 2%. According to the latest statements from the FRS, the regulator is moving to targeting average inflation. The new approach allows inflation to rise moderately above 2% for a certain period of time. Considering the new FRS strategy.