This week, the US markets are set for an intense period, driven by the convergence of two major events: the US election and a Federal Reserve meeting. These events are expected to shape market sentiment, potentially inducing high volatility with lasting effects on prices well beyond Friday. Investors and analysts alike are braced for a turbulent week, with sharp movements anticipated as major decisions unfold. Here’s a detailed breakdown of key events by day:

Monday, November 4:

• Expected tier 3 data releases across all trading sessions.
• Japanese markets closed, possibly affecting liquidity.
• Key Focus:
• Reserve Bank of Australia’s rate decision, with expectations for no change.
• Early focus on Australian markets before shifting quickly to the US election updates.

Tuesday, November 5:

• Primary Focus: US Election Day.
• Early voting results anticipated to dominate market attention.
• Other Data:
• ISM Services PMI in the US, though likely to be secondary to election developments.

Wednesday, November 6:

• Asian session response to initial US election outcomes.
• Key Data:
• New Zealand employment figures, though market focus will likely remain on election results.
• Second-tier releases during London and New York sessions:
  • UK Construction PMI.
  • US Final Services PMI.
  • Canadian Ivey PMI.
• Expectation for geopolitics to significantly impact market trends.

Thursday, November 7:

• Central Bank Focus:
• Bank of England and Federal Reserve rate announcements, both anticipated to implement a 25 basis point cut.
• Volatility expected around these announcements, though the US election results may continue to drive market sentiment.

Friday, November 8:

• Quieter event calendar, but potential for lingering volatility.
• Key Focus:
• Canada’s latest employment data at the New York open.
• US Preliminary University of Michigan consumer sentiment figures.
• Over the weekend, attention shifts to China’s upcoming inflation data.

With such a packed week, markets are prepared for substantial movements. Investors will need to stay vigilant as election results, central bank decisions, and key economic indicators collide.