With Brexit becoming a daily sequel, it would be bizarre not to have it on the agenda this week as well. Today, UK MPs are set to hold another round of “indicative votes”, in a new attempt to break the impasse and find a viable way to move forward. With regards to the US-China saga, a Chinese delegation led by Vice Premier Liu He will travel to the US for more talks. The RBA policy meeting and the US jobs report will also be in focus, with the former perhaps exiting the non-even storage as following the RBNZ dovish tilt, investors may be eager to find out whether the Australian central bank will follow suit.
On Monday, during the European morning, Eurozone’s preliminary CPI data for March are due to be released. Expectations are for the headline rate to have held steady at +1.5% yoy, while the core one is anticipated to have ticked down to +0.9% yoy from +1.0%. That said, bearing in mind that the German CPI rate surprised to the downside on Thursday, we see the risks surrounding the bloc’s headline print as tilted to the downside.
At their latest gathering, ECB policymakers noted that the risks surrounding Eurozone’s economic outlook remain to the downside, even after they pushed back their guidance on interest rates and announced a new round of...
Read the full financial markets weekly outlook on JFD Research.