The key highlights of the trading week include the inauguration of US President-elect Donald Trump, Canada’s inflation and retail sales data, and Friday morning’s Bank of Japan meeting, where an interest rate hike was implemented.
● On Sunday, the US observed Martin Luther King Day, followed by the inauguration of President Donald Trump.
Great Britain :
● In November, the average wage growth rose from 5.2% to 5.6%. The unemployment rate edged up from 4.3% to 4.4%, while December saw an increase of 0.7 thousand unemployment benefit applications, compared to a previous drop of 25.1 thousand.
Germany:
● The ZEW Economic Sentiment Index dropped from 15.7 to 10.3 in January, reflecting weaker market expectations.
Canada :
● The Consumer Price Index dropped by 0.4% month-over-month in December (previously 0.0%), signaling weaker inflationary pressures.
New Zealand:
● Annual inflation for Q4 held steady at 2.2%, while the quarterly rate declined from 0.6% to 0.5%.
Eurozone:
● ECB President Christine Lagarde delivered a speech.
United States:
● API crude oil inventories increased by 1.0 million barrels, following a previous drop of 2.6 million.
United States:
● Initial jobless claims increased to 223,000 from 217,000. According to the US Department of Energy, oil inventories dropped by 1.962 million barrels.
Canada:
● November retail sales stayed flat at 0.0%, missing the forecasted 0.2% growth, while the Core Retail Sales Index declined to -0.7% from -0.1%.
Japan:
● At 3:00 a.m. GMT, the Bank of Japan announced the results of its policy meeting, with a key interest rate increase from 0.25% to 0.50%, as previously anticipated. The Bank will also release its Economic Prospects Report, followed by a press conference at 6:30 a.m. GMT.
Germany:
● In the morning, the January Purchasing Managers’ Index (PMI) will be released. The Manufacturing PMI is projected to increase slightly to 42.7 from 42.5, while the services PMI is expected to hold steady at 51.1.
Eurozone:
● The January PMIs will be released at 10:00 a.m. GMT, with the Manufacturing PMI expected to rise from 45.1 to 45.6, while the Services PMI is projected to stay at 51.4.
● ECB President Christine Lagarde is also scheduled to speak.
United States:
● January’s Purchasing Managers’ Index (PMI) will be released at 2:45 p.m. GMT, followed by December’s existing home sales report at 15:00 GMT, which is expected to rise from 4.15 million to 4.19 million.
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