A Week in the Market (10.01 - 16.01): World Coming Back to Senses
The second week of January will be the first full-scale work week for the majority of the stock and currency markets this year. Statistics will be scarce, yet there is something to pay attention to.
Central Banks: new year, new conferences
This week, conferences will be held by the Central Banks of Romania, Serbia, and South Korea. In the latter case, the interest rate is expected to grow by 25 base points to 1.25% annually. If comments of the regulators on their credit and monetary policy will be neutral, risky assets will feel better.
USD: all eyes on inflation
This week, the USA will publish inflation statistics for December. It is expected that the index has grown by 0.4% m/m. Substantial inflation is no secret anymore, yet any confirmation can provoke local volatility in the USD. Moreover, retail sales and industrial production statistics are expected.
China: fresh data
China will appear on the economic calendar with inflation statistics for December, the PPI, and trade balance. The better the results, the more support risky assets will get.
AUD: statistics will support the currency
Australia is planning to publish retail sales statistics and the trade balance for December. Chinese statistics can also be a trigger for the AUD because China is a major trade and economic partner for Australia. If the releases are positive, the AUD may count on some support.
GBP: the pound expects good news
Great Britain is presenting its November GDP, industrial production of the same month, manufacturing, and construction statistics. The GBP is developing an uptrend that accounts for all good news without exception.