Here are some of the important economic data that will be the focus of the market throughout this week.
TUESDAY (December 12, 2023):
UK Employment Data Report (3.00pm) – Will be the central bank's guide for monetary policy setting, the labor sector will be measured to assess the current health of the economy. Good jobs in the UK could prompt policy tightening in an effort to bring down high inflation.
US Consumer Inflation Data (9.30 PM) - Investors will focus on this important indicator that will be the driver of currency market movements, especially for the US dollar. Interest rate decisions by the Federal Reserve (Fed) will be influenced by this inflation data.
WEDNESDAY (December 13, 2023):
UK GDP data (3.00pm) – UK economic growth will also be assessed alongside employment data this week which will also provide a clearer picture of the current health of the economy. The forecast for monthly growth is bleak.
US Producer Inflation Data (9.30 PM) - The reading of the producer price index data in America that will be published is expected to be in line with the consumer inflation data. Expectations are rising and will open up space for the central bank to continue tightening monetary policy.
THURSDAY (December 14, 2023):
FOMC Meeting (3.00 AM) – This is the last monetary policy meeting for 2023 with the majority of the market currently expecting the Fed to keep interest rates unchanged. However, what is more in focus is the next indication of interest rate cuts next year.
SNB Policy Meeting (4.30pm) – The Swiss central bank is forecast to keep interest rates unchanged at 1.75%, the highest level since exiting negative interest rates since September last year.
BOE Policy Meeting (8.00 PM) – The Bank of England (BOE) is about to shake up the movement of the Pound with the results of the last meeting of the year. Interest rates are expected to remain at 5.25% and the central bank's follow-up statement will be watched for monetary policy guidance for 2024.
ECB Policy Meeting (9.15 PM) – Next, following the results of the European central bank meeting with interest rates expected to be maintained at 4.50%. Surely the speech by President Christine Lagarde will be given attention as it often conveys important indications for monetary policy.
US Retail Sales Data (9.30 PM) – Sales rates in November looked bleak with forecast figures also being slow. A significant difference in the actual figures published could have a major impact on the movement of the US dollar heading into the end of the week.
FRIDAY (December 15, 2023):
European Manufacturing & Services PMI data (5.00 PM) – The data reading last month was slightly positive but the figure still remains below the 50.0 point level which has not shown any expansion. The latest reading for this month is also expected not to change much.
UK Manufacturing & Services PMI data (5.30 PM) – The services sector in the UK is seen better than manufacturing which is still below the 50.0 point level. But the forecast for both sectors is up for this month.
US Manufacturing & Services PMI data (9.30 PM) – No big difference is expected in the numbers recorded for these two important sectors in America. Services are forecast to be above the 50.0 point level while manufacturing is expected to be slightly lower.
