Weekly Outlook, Apr 20-25: Top Five Economic Events to Watch This Week
Arslan Butt • 2 min read
Welcome back to another week, traders.
On Monday, the dollar found support as global growth distress hit oil and commodity currencies, while the New Zealand dollar soared on the announcement that the government will begin to loosen strict virus containment measures from next week.
The outbreak of COVID-19 proceeds to generate havoc in the global economy, as lockdowns across the world have deadened the major economies. Later this week, the focus will remain on inflation and employment news from the UK as well as the US Manufacturing PMI.
Top Five Economic Events to Watch This Week
AUD – Monetary Policy Meeting Minutes: Tuesday, 1:30 GMT
Fellas, it is a detailed record of the RBA Board’s most recent meeting, providing in-depth insights into the economic conditions that influenced their decision on where to set interest rates.
The RBA minutes will present aspects of the March policy meeting. At that meeting, the bank maintained the cash rate at 0.25%. A pessimistic assessment by policymakers in the minutes could weigh on the Aussie.
GBP – Employment Reports: Tuesday, 6:00 GMT
The forecast for the UK labor market is flat, as the coronavirus break has deadened the UK market. Wage increase rose to 3.1% in January, up from 2.9% beforehand. The forecasts for February hold at 3.0%.
Jobless claims soared to 17.3K in February, up from 5.5K and much higher than the forecast of 6.2K. The unemployment rate in January bordered up to 3.9% from 3.8%, its highest mark since June. No big change is anticipated in the unemployment rate.
GBP – UK Inflation: Wednesday, 6:00 GMT
COVID-19 has caused a significant drop in economic activity, and consumer spending has also dropped due to this. The inflation levels are anticipated to dip.
CPI trimmed lower to 1.7% in February, falling from 1.8%. The estimate for March stands at 1.5%. Core CPI rose to 1.7%, up from 1.6%. The March forecast is 1.6%.
CAD – Canadian Inflation: Wednesday, 12:30 GMT
Statistics Canada is due to report CPI figures at 12:30 GMT. Consumer inflation grew 0.4% in February, up from 0.3%. This listed its highest level since July. The core figure grew to 0.7%, up from 0.4% a month earlier.
However, we do not have any estimates regarding the inflation data, but considering the slowdown in global economies and a drop in the prices of crude oil, the Canadian inflation figures are likely to drop from a 0.4% rate.
USD – Unemployment Claims: Thursday, 12:30 GMT
The US Jobless claims have been in highlights these days due to massive damage done by COVID-19 on the US labor market. Above 5 million last week, analysts are bolstering for another considerable figure, as the COVID-19 outbreak has locked down millions of workers, and they will be forced to file for jobless claims.
Good luck traders, and stay tuned to FX Leaders’ Economic Calendar for live market updates.