This week promises calmer waters for investors after a whirlwind of central bank decisions and major data releases last week. While the Easter holiday approaching might thin out trading activity, there are still some key events to watch:
Less Eventful Week for Markets after Busy Stretch
This week promises a calmer pace for investors compared to the action-packed previous week, which saw numerous central bank decisions and major economic data releases.
Limited Events, Reduced Liquidity
Global factors like fewer market movers and thinning liquidity due to the upcoming Easter weekend contribute to the subdued outlook.
Core PCE Data: The Main Attraction
The highlight of the week is the release of US Core PCE data, a key inflation measure for the Federal Reserve. However, its potential impact could be muted due to the Good Friday release timing.
Other Data Points to Watch
- US durable goods orders (expected to improve slightly in February)
- US consumer confidence (predicted to dip modestly)
- US GDP growth (likely unchanged from the previous estimate)
- Australian CPI (forecast for a minor rise)
Day-by-Day Breakdown
- Monday: Bank of Japan meeting minutes and US new home sales data.
- Tuesday: US durable goods orders and consumer confidence data.
- Wednesday: Australian CPI, Spanish CPI, and European Central Bank meeting minutes.
- Thursday: Canadian and US GDP figures, US jobless claims, US pending home sales, and University of Michigan consumer sentiment data.
- Friday: Japanese CPI and other data, with limited activity in Europe due to Good Friday. The US market remains open with the release of Core PCE data and a speech by Federal Reserve Chair Jerome Powell, both potentially causing market movements.
Holiday Impact
Expect lower trading volume on Friday due to the Easter holiday.
