Canada will see several performance indicators this week, including the CPI, retail sales and housing market figures. Improvements in retail sales are expected. The CPI will be watched to see the effect of the currency movement and import and export changes. Provincially, British Columbia will be releasing is annual budget and Provincial Finance Minister Michael de Jong has said that it will be a balanced budget.
The Fed takes the limelight this week as it releases its minutes from its last policy setting meeting at the tail end of January. This is coming at a time when markets are afraid that the Fed might be making the wrong decisions and causing instability in the global markets. Furthermore, several different Fed Presidents will be making speeches on different topics. There is also the expectation that these talks will make it seem unlikely that the Fed will raise rates again at its next meeting.
Staying in the United States. The Consumer Price index will be released showing inflation figures in the US with a decline being anticipated. Industrial Production is expected to have risen when the Producer Price Index is released. This is likely to calm some fears about the interest rate rise as some commentators viewed the rise with a slowing manufacturing sector as a bad decision.
The European Union is teeming with activity as national leaders convene in Brussels for the two day EU Leader’s Summit. Britain’s terms and negotiations on its future in the union and the refugee crisis are likely to best the most important issues. ECB president Mario Draghi will address the European Parliament’s Economic Committee, he will be closely watched for clues on future monetary policy. EU foreign ministers will also convene before the Leader’s Summit as well.
Japanese Q4 GDP numbers will be announced this week and a negative figure seems to be on the books.