A Week in the Market: Currencies Need Support (14-18 August)
14.08.2023
2 minutes for reading
In this week’s macroeconomic calendar, both the UK and China are set to be active ensuring that investors will remain engaged.
China: impact on assets
China will release data concerning retail sales, unemployment rate, and industrial production. Particular attention should be paid to information about investments in fixed assets, as this will help to better understand ongoing business processes. Robust reports will bolster assets linked to risks.
GBP: an abundance of statistics
The UK is to publish information about the unemployment rate, average earnings, the count of unemployment benefit claims, and other employment market indicators. The labour market’s stability is perceived as an inflationary driver. Any failure of the statistics to meet expectations could apply pressure on the GBP exchange rate.
USD: focus on Fed’s minutes
The US is to provide data on retail sales, import prices, and industrial production. The market has become accustomed to strong statistics, and weak data will be taken as a signal for the Federal Reserve to pause its interest rate hikes. It is worth paying attention to the release of the minutes from the Fed’s last meeting. The USD continues to maintain a strong market position.
AUD: employment market statistics
Australia will release information about employment and unemployment levels. The second indicator is expected to remain at 3.5%. For the AUD, which has been rapidly decreasing, this will be neutral news.
