Following last week's ECB, BoC, Riksbank and Norges Bank policy decisions, this week, the central bank torch will be passed to the BoJ and the BoE. As for the rest of the events, UK Chancellor Philip Hammond will deliver the Autumn budget to the Parliament on Monday, while on Wednesday, we have Eurozone’s preliminary CPIs for October. On Friday, the spotlight is likely to fall on the US employment data.
On Monday, UK Chancellor of the Exchequer Philip Hammond will deliver the Autumn budget to the Parliament. Hammond has been under pressure from PM Theresa May to end a decade of austerity, but despite a shrinking fiscal deficit, we doubt that such a decision will be taken before the official Brexit date. After all, May said that the government could consider any actions after the UK’s departure from the EU, and that the matter would be reviewed in next year’s Spring Statement. On Sunday, the Chancellor said that it would be hard for the Treasury to please the Prime Minister in case of a no-deal Brexit and thus, even if his speech includes hope and optimism on the matter, everything is likely to be conditioned upon of a smooth EU-UK divorce.
From the US, we get personal income and spending data for September, as well as the yearly core PCE rate for the month. Income is expected to have risen 0.3% mom, the same pace as in August, while spending is anticipated to...
On Tuesday, in Asia, we get Japan’s unemployment rate for September, which is expected to have remained unchanged at 2.4%, and Australia’s building approvals for the same month, which are forecast to have risen 3.9% mom, after falling 9.4% in August.
From Germany, we get the preliminary CPI for October, one day ahead of Eurozone’s preliminary inflation prints for the month. Expectations are for both the...
Read the full financial markets weekly outlook on JFD Research.