Wednesday’s Fed meeting is the highlight of the week with Chair Powell set to give details on the shift to average inflation targeting. Thursday’s Bank of England meeting could give some indication of whether there is any real consideration of implementing negative rates. The Bank of Japan also meets on Thursday, its first policy meeting since Prime Minister Shinzo Abe announced his resignation.
Several EM central banks will also hold policy meetings this week. The first is Poland on Tuesday, followed by Brazil on Wednesday, Indonesia, Taiwan and South Africa on Thursday, and Russia on Friday. South Africa is the only central bank expected to cut rates, all the rest are set to remain on hold.
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Monetary Policy
Wednesday’s Fed meeting is the highlight of the week with Chair Powell set to give details on the shift to average inflation targeting. Thursday’s Bank of England meeting could give some indication of whether there is any real consideration of implementing negative rates. The Bank of Japan also meets on Thursday, its first policy meeting since Prime Minister Shinzo Abe announced his resignation.
Several EM central banks will also hold policy meetings this week. The first is Poland on Tuesday, followed by Brazil on Wednesday, Indonesia, Taiwan and South Africa on Thursday, and Russia on Friday. South Africa is the only central bank expected to cut rates, all the rest are set to remain on hold.
Data
A significant amount of data is scheduled for release this week. Some highlights include; initial jobless claims, IP and U of Mich consumer confidence data in the US, IP for the Euro Area, IP, retail sales and FAI, in China and inflation data in India.
Bilal Hafeez is the CEO and Editor of Macro Hive. He spent over twenty years doing research at big banks – JPMorgan, Deutsche Bank, and Nomura, where he had various “Global Head” roles and did FX, rates and cross-markets research.
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