Traders are looking forward to another interesting trading week ahead, with a well-stocked macroeconomic event calendar likely to present plenty of trading opportunities. This week offers a good mix of central bank updates and data releases, with a strong emphasis once again on US data—particularly the CPI numbers, which are expected to be the highlight. Updates from the new US administration may also introduce potential challenges as the week progresses.
Here is our usual day-by-day breakdown of the major risk events this week:
There may be some movement at the Monday open following the release of Chinese inflation numbers over the weekend. However, as they were largely in line with expectations, their impact may be limited. Further Chinese data is due during the Asian session, with the latest New Loans figures set for release. Later in the day, we hear from ECB President Christine Lagarde, but apart from that, the calendar is relatively light for the first day of the trading week.
Japanese markets will be closed, and the Asian session is expected to be quiet. However, as we move through the other sessions, the focus will shift to central bank updates. Both the Bank of England’s Andrew Bailey and the Federal Reserve’s Jerome Powell will be speaking during the day, with Powell addressing the Senate Banking Committee. Later, we also hear from Fed officials Bowman and Williams.
Wednesday has the potential to be the busiest day of the week, though most of the key events will take place once New York trading begins. The crucial US CPI update is the first major release of the session, followed by another appearance from Jerome Powell in Washington, D.C. The usual weekly US Crude Oil Inventory data will also be released, alongside speeches from FOMC members Bostic and Waller.
Inflation data will dominate all three trading sessions on Thursday. The Asian session begins with New Zealand’s Quarterly Inflation Expectations report. In Europe, the Swiss CPI numbers will be released around the market open, preceded by the UK’s GDP and Industrial Production figures. In the US, PPI data is scheduled for release shortly after the New York open, alongside the weekly Unemployment Claims report.
The week is expected to end on a quieter note in terms of macroeconomic updates. There are no significant releases scheduled for the Asian or European sessions, with only US Retail Sales data on the agenda once New York opens.
