Welcome to the Investors Trading Academy economic
calendar of the week. Each week our news analysts review the upcoming economic events that you
should be monitoring. The new year got off wrong footed with global stocks getting beat
up and Chinese data released on the 1st of January printing a bit soft. Activity in China’s
manufacturing sector contracted for a fifth straight month in December, an official survey
showed on Friday, reinforcing fears the world’s second-largest economy may be stuck in a protracted
slowdown despite a flurry of stimulus measures. While China’s services sector ended 2015 on
a strong note, the economy still looked set to grow at its slowest pace in a quarter of
a century, suggesting the government will have to step up support in 2016 to revive
activity. December was a month which saw severe pressure
being piled on the commodity sector and the outlook for early 2016 is equally gloomy.
Economic indicators from China will be carefully watched in the week ahead as the slowdown
in the second-largest economy in the world is likely to remain in the news. It was the
European Central Bank that surprised the market this month and not the Federal Reserve, and
dealers will be wondering if Mario Draghi’s relatively small extension to the quantitative
easing scheme will be enough to turn the region around. Janet Yellen won’t want to rush
another rate hike, and the jobs report on Friday will be the highlight of next week.
A private gauge of Chinese manufacturing Caixin/Markit PMI, which focuses more on small-to-medium-sized
private firms, will be released on Jan.4. China is set to release fourth quarter and
full-year GDP data on Jan. 19. The week is chugged full of events which should
keep traders busy as they return from the long holidays. Monday will see them monthly
array of PMI data from the Eurozone countries and the overall Eurozone as well as the UK
and the US. Also German inflation data will hit the wires.
Tuesday traders will get a look at German jobs data as well as the overall Eurozone
inflation data which could spark some volatility in the euro crosses.
Wednesday Asia is hot with Japanese and Chinese services PMI data as well as the European
countries. Also Wednesday the US is busy as ADP releases payroll data ahead of Friday’s
nonfarm jobs report. Also US trade balance numbers are due. And of course traders around
the globe will keep a close eye on the weekly EIA crude oil inventory. Later in the day
traders will focus on the FOMC minutes from the December meeting when the committee raised
rates. Thursday brings German factory orders which
are expected to show a rise as well as Eurozone retail sales and unemployment.
Friday morning Australia releases its first official data with retail sales expected to
climb to 0.4% and then focus will shift to the monthly jobs data from the US. Jobs are
expected to fall to 200,000 from 211,000. Unemployment is expected to remain at 5%.
This week even Saturday will be a big day with Chinese releasing December inflation