Weekly Outlook, Jan 17 – 21, 2022: Top Economic Events to Watch This Week - Forex News by FX Leaders
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Weekly Outlook, Jan 17 – 21, 2022: Top Economic Events to Watch This Week

Posted Monday, January 17, 2022 by
Arslan Butt • 4 min read

The broad-based US dollar rose at the end of last week, while statistics showed that consumer prices rose at their fastest rate in nearly 40 years, indicating that the week would end on a bullish note. On the other hand, the debate about inflation and interest rate hikes continues, with Philadelphia Fed President Patrick Harker stating that more than three hikes are likely this year. Weekly initial jobless claims jumped unexpectedly from 207K to 230K during the week ending January 7.

Furthermore, the US Producer Price Index (PPI) increased by 9.7% year over year in December, which was up by 9.6% from the previous month. This, however, fell short of market forecasts, which predicted a reading of 9.8%, and thus managed to excite the USD bulls and halt the currency’s drop. Aside from that, the risk-off market mood, which was bolstered by several variables, was considered one of the primary factors that boosted the US dollar even more.

In the coming week, there will be plenty of retail sales and unemployment claims, as well as minutes from the BOJ Outlook Report and Employment Change, to keep the markets moving. Aside from that, BOE Gov. Bailey’s speech will be closely observed, as it may play a key role in establishing market risk levels.

Top Economic Events to Watch This Week

1. China, Gross Domestic Product (YoY) – Monday – 2:00 GMT

On Monday, January 17, at 02:00 GMT, China’s Gross Domestic Product (YoY) will be released. The National Bureau of Statistics of China publishes the Gross Domestic Product (GDP), which examines the total value of all commodities and services generated in China. The indicator shows how quickly the Chinese economy is growing or shrinking. This economic event would impact the Forex market, because the Chinese economy has an impact on the global economy. In general, a high rating for the CNY is considered favorable (or bullish), while a low number is considered negative (or Bearish). The last China Gross Domestic Product (YoY) consensus was -0.49615.

Previous Release:

ACTUAL: 4.9 %

DEV: -0.50    

CONS: 5.2 %

Last Release:

Monday, October 18, 2021, 02:00

2. China Retail Sales (YoY) Monday – 2:00 GMT

On Monday, January 17, at 02:00 GMT, China Retail Sales (YoY) will be released. The National Bureau of Statistics of China’s Retail Sales report tracks retail consumer goods revenues. It reflects the entire value of consumer goods supplied by various industries to families and social groupings via multiple paths. 

It is a crucial indicator for analyzing developments in the Chinese retail market and gauging its economic health. A high reading indicates that the CNY is positive (or bullish), while a low reading indicates that the CNY is negative (or bearish). The next China Retail Sales (YoY) consensus is 3.7, with -0.28301 as the latest variation.

Previous Release:

ACTUAL: 3.9 %

DEV: -0.28

CONS: 4.6 %

Last Release:

Wednesday, December 15, 2021, 02:00

3. Japan BoJ Interest Rate Decision – Tuesday 3:00 GMT

The Bank of Japan releases its interest rate decision reglarly. In general, if the Bank of Japan is concerned about the economy’s inflationary prospects and raises interest rates, it is beneficial or bullish for the JPY. Similarly, if the assessment of the Japanese economy by the Bank of Japan is dovish, and the interest rate remains the same, or drops, it is negative or bearish.

Previous Release:

ACTUAL: -0.1 %

DEV: 0.00

CONS: -0.1 %

Last Release:

Friday, December 17, 2021, 03:00

4. BoJ Monetary Policy Statement – Tuesday   03:00 GMT

The Bank of Japan’s Policy Board issues an official monetary policy statement, which provides insight into future monetary policy adjustments, by announcing the committee’s vote outcome on interest rates and other policy actions, as well as the economic conditions that influenced its decision.

5. Canada Consumer Price Index (MoM) – Wednesday 13:30 GMT

On Wednesday, January 19, at 13:30 GMT, the Canadian Consumer Price Index (MoM) will be released. Statistics Canada’s Consumer Price Index (CPI) measures price changes, based on a comparison of the retail prices of a representative shopping basket of goods and services. Inflation reduces the purchasing power of the Canadian dollar. The Bank of Canada attempts to keep inflation within a certain range (1 percent – 3 percent ). A high rating indicates the likelihood of a rate hike and is therefore beneficial (or bullish) for the CAD. The next Canada Consumer Price Index (MoM) is expected to be 0.2, with the last variation non-existent.

Previous Release:

ACTUAL: 0.2 %

DEV: 0.00

CONS: 0.2 %

Last Release:

Friday, December 17, 2021, 03:00

6. Australia Employment Change s.a. – Thursday – 0:30 GMT

On Thursday, January 20, at 24:30 GMT, Australia Employment Change s.a. will be released. The Australian Bureau of Statistics’ Employment Change measures the change in the number of employed people in Australia. In general, a rise in this statistic has good implications for consumer expenditure, which boosts economic growth. As a result, a high number is considered optimistic (or bullish) for the AUD, while a low reading is deemed negative (or bearish). The next Australia Employment Change s.a. consensus is unknown, and the most recent divergence was 3.10764.

Previous Release:

ACTUAL: 366.1K

DEV: 3.11

CONS: 200K

Last Release:

Thursday, December 16, 2021, 24:30

ii – Australia Unemployment Rate:

On Thursday, January 20 at 24:30 GMT, Australia’s Unemployment Rate will be released. The Australian Bureau of Statistics publishes the unemployment rate, namely the number of jobless employees divided by the total civilian labor force. If the rates increase, the Australian labor market is not expanding. A surge causes the Australian economy to suffer – while a drop in the figure is considered favorable (or “bullish”) for the Australian dollar, an increase is considered negative (or “bearish”). The next Australian unemployment rate is expected to be 4.5, with the latest deviation being -1.04827.

Previous Release:

ACTUAL: 4.6 %

DEV: -1.05

CONS: 5 %  

Last Release:

Thursday, December 16, 2021, 24:30

7. United Kingdom Retail Sales (MoM) Friday – 7:00 GMT

On Friday, January 21, at 07:00 GMT, the retail sales (MoM) for the United Kingdom will be released. The overall receipts of retail stores are measured in the National Statistics retail sales report. The pace of change in such sales is reflected in monthly percentage changes. Fluctuations in retail sales are frequently regarded as a leading indicator of consumer spending. In general, a high rating for the GBP is considered positive or bullish, while a low score is considered negative or bearish. The next United Kingdom retail sales (MoM) consensus is 0.8, while the previous deviation was non-existent.

 Previous Release:

ACTUAL: 1.4 %

DEV: –

CONS: –

Last Release:

Friday, December 17, 2021, 07:00

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