The ongoing concerns over China’s economic growth has dragged down the U.S. stock markets and energy prices have also declined. The minutes of the last FOMC meeting didn’t offer a lot of insight either than keeping the markets guessing on whether the FOMC were to raise rates in September. This week the main events and reports to consider include: U.S. GDP, FOMC Lockhart Speaks, German flash CPI, U.S. consumer sentiment, Jackson Hole Symposium, Governor Stevens speaks, GB GDP for Q2, U.S. PCE, U.S. new and pending home sales, EU monetary development, U.S. durable goods, and German business climate. So let’s review the main events and reports for the week of August 24th to August 28th:
(All times GMT):
Monday, August 24th
20:55 – FOMC Member Lockhart Speaks: He is expected to speak at the 2015 Public Pension Funding Forum, in Berkeley;
Tuesday, August 25th
09:00 – German Ifo Business Climate Index: The index comprises of the difference (on a monthly basis) in the manufacturers, builders, wholesalers, and retailers in Germany as of August. In the July report, the business climate index rose to 108;
15:00 – U.S. Consumer Confidence: According to the previous report for July, the consumer confidence index fell to 90.9. The current estimates are for a gain as the index will reach 92.8;
15:00 – U.S. New Home Sales: This report will refer to July 2015; in the latest report (opens pdf), the sales of new homes slipped to an annual rate of 482,000; current estimates are for a gain to an annual rate of 512,000;
Wednesday, August 26th
Tentative –Governor Stevens speaks: Reserve Bank of Australia Governor will speak at the National Reform Summit, in Sydney;
13:30 – U.S Core Durable Goods: This monthly report pertain to July and will indicate the developments in U.S demand for commodities including oil and gas. As of June 2015, new orders of manufactured durable goods rose by 3.4%, month over month, and all manufacturing industries increased by 1.8%;
15:30 – U.S Crude Oil Stockpiles Weekly Report: The Energy Information Administration will release its weekly report on the U.S oil and petroleum stockpiles for the week ending on August 21st;
Thursday, August 27th
02:30 – Australia Private New Capital Expenditure: This quarterly report shows the changes in the private new capital expenditures and expected expenditures for the second quarter of 2015. As of the first quarter, the seasonal adjusted total of new capital expenditure declined by 4.4% (Q-o-Q). Current estimates are for another 2.5% drop in the recent quarter;
09:00 – Euro Area Monetary Development: This monthly report will refer to the changes of the M3, M1 and loans to private sector in the Euro area as of July 2015. In the June report, the annual growth rate for M3 stood, unchanged, at 5%; M1 increased to 11.8%. Finally, the annual growth rate of loans to households grew to 1.7%; current estimates are for a modest drop in the growth rate of M3 to 4.9%;
13:30 – Second U.S GDP 2Q 2015 Estimate: This will be the second estimate of U.S’s second quarter 2015 real GDP growth. In the first estimate for Q2 the GDP grew by 2.3% — a bit lower than expected. The current estimates are much higher and expect the GDP growth rate to be revised up to 3.2% in Q2. A better than expected growth rate could further boost the odds of a rate hike in September;
13:30 – U.S. Jobless Claims Weekly Report: This weekly report will pertain to the changes in the initial jobless claims for the week ending on August 21st; in the recent report the jobless claims slightly rose to 277K;
15:00 – U.S. Pending Home Sales: This report presents the developments in pending home sales in the U.S during July; in the previous update for June, pending home sales index slipped by 1.8% (month-over-month). Currently, the market expects home sales to rise by 1.3% in the previous month;
15:30 – EIA U.S. Natural Gas Storage: The EIA weekly report of the U.S. natural gas market will refer to the latest developments in natural gas production, storage, consumption and rates as of August 21st;
3 Day Event – Jackson Hole Symposium: This is a highly covered Symposium, in which participates are likely to discuss about US inflation developments at the Federal Reserve Bank of Kansas City Economic Symposium, in Jackson Hole; FOMC Chair Yellen, however, isn’t expected to participate this time, which could reduce the focus of this summit;
Friday, August 28th
All Day – German CPI Flash Estimate: This index estimates the consumer price index of Germany. According to the previous estimate for July, the CPI was 0.2%. The current estimates are that the inflation dropped to -0.1% last month;
09:30 – Second Estimate of Great Britain GDP Q2 2015: This report will shows the second estimate of the quarterly growth rate of the British economy for the second quarter of 2015; in the first estimate, the GDP grew by 0.7%; currently, the market estimates the GDP report will show no change in the growth rate;
13:30 – U.S. core PCE: The personal consumption expenditures index is an important indicator the FOMC follows to examine the changes in U.S. inflation. In the previous report, the PCE index rose by 0.2% and the core PCE (excluding food and energy) inched up by 0.1%. The expectations are for the core PCE to edge up again by 0.1% and PCE by 0.4%;
14:55 – UoM Consumer Sentiment (revised): University of Michigan will publish its revised consumer sentiment monthly report; this survey could provide information regarding the changes in U.S consumers’ sentiment; according to the last report, the sentiment index slipped to 93.1;
03:25 –BOE Governor Carney Speaks: The Governor is expected to participate in a panel discussion titled “Global Inflation Dynamics” at the Federal Reserve Bank of Kansas City Symposium, in Jackson Hole;
05:25 – FOMC Member Fischer Speaks: He is also expected to talk in a panel regarding US inflation developments in Jackson Hole;
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