Week Ahead Economic Overview

The week sees updates on inflation and unemployment for the eurozone amid industrial production numbers and labour market data for Japan. Other standouts are the Markit Flash US Services PMI, durable goods orders and an update on second quarter GDP in the world's largest economy.

In the eurozone, flash inflation and unemployment numbers are out. In July, inflation was down to 0.4%, with consumer prices falling in Greece, Portugal, Slovakia and Spain. In June, the ECB cut interest rates and introduced a negative deposit rate for the first time ever, in an attempt to fight any potential threat of deflation and it is most likely that policymakers will allow recent stimulus efforts to have a greater chance to filter through to the real economy before making any further moves. Unemployment fell to 11.5% in June, but survey data suggest that the modest job creation of recent months has stalled in August.

An update on second quarter GDP growth will be released in the US. A first estimate showed the US economy expanding at an annualised rate of 4.0%, beating forecasts of a 3.0% rise and policymakers will look for confirmation of the strong growth signals sent from the initial GDP numbers. Early indications of how the US is performing in August are meanwhile provided by the Markit Flash US Services PMI and durable goods orders data.

Industrial production data for July will meanwhile give further clues about Japan's manufacturing performance at the start of the third quarter, with survey data suggesting that manufacturing expanded at the quickest pace in five months during August. Other important releases in Japan include unemployment numbers and retail trade data.

In a relatively quiet week for UK data watchers, GfK consumer confidence data and Nationwide house prices are the most important releases.

Monday 25 August

Current account data are released in India.

The Ifo Institute releases its latest survey results for Germany.

In the UK, the Confederation of British Industry publishes their latest CBI Distributive Trades Survey.

Markit updates its Flash US Services PMI.

Consumer confidence information are meanwhile released in Brazil.

Tuesday 26 August

The Conference Board LEI for China publishes the latest Leading Economic Index.

Inflation numbers are out in Italy.

In the US, durable goods orders, the S&P/Case-Shiller Home Price Index and consumer confidence data are released.

The OECD updates its statistical release on GDP growth.

Wednesday 27 August

Inflation numbers, retail sales figures, industrial production data and a labour market update are the highlights in Japan on Wednesday.

Gfk consumer confidence information are out for Germany.

Business confidence data and the INSEE Investment Survey are issued in France.

Mortgage approvals data and M4 money supply information are meanwhile out in the UK.

Thursday 28 August

The Bank Austria Manufacturing PMI is published by Markit.

In the UK, consumer confidence data are released by Gfk, followed by Nationwide house prices.

Housing starts numbers and construction orders data are issued in Japan.

Spain and Germany see updates on inflation figures, with the latter also releasing unemployment information.

M3 money supply information are out for the eurozone.

In Italy, retail sales numbers are published.

Confidence information are released in Portugal.

The US updates its second quarter GDP estimate and also issues pending home sales data and initial claims.

Friday 29 August

Import prices, retail sales figures and earnings data are released in Germany on Friday.

Inflation numbers and unemployment information are meanwhile issued for the euro area.

The US Bureau of Economic Analysis updates its Core Personal Consumption Expenditure Price Index, while the Chicago PMI and the Reuters/Michigan Consumer Sentiment Index are also released.

In Canada, monthly GDP data for June, industrial production numbers and the Raw Material Price Index are all out on Friday.

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