Eurozone GDP grew 0.2% in Q3,while US rose a better-than-expected 1.9%.
Soma overnight no consult fast delivery The U.S. economy expanded at a 1.9% annual pace in Q3, decelerating slightly from the 2% pace in Q2, amid to a decline in business investment and smaller increases in consumer and government spending. Economists polled by Dow Jones had expected the first look at Q3 growth to come in at 1.6%. Personal consumption expenditures rose at a 2.9% annualized rate while government spending grew at a 2% rate. In Eurozone, the economy grew at 0.2% in Q3, a rise of 1.1% year-over year. Eurostat also reported 0.7% year-overyear inflation in October, a 0.1% fall from September, and flat unemployment in September at 7.5%.
Key news for the week ahead
US earnings, central bank meetings from UK and Australia, China’s trade and inflation figures, US non-manufacturing PMI, and services PMIs in Eurozone and US will dominate the market.
In UK, BoE is widely expected to leave the key rate unchanged as Brexit remains front and centre and the UK gears up for an election next month. There is speculation the BoE is close to shifting to an easing bias as several policymakers have been implying that the Bank may be forced to cut interest rates.
The RBA is expected to keep its cash rate unchanged but with a November move never really being in play, traders will watch out for clues about a possible December cut.
Market expectations for an end-of-year rate reduction are fast diminishing and the minutes of the October meeting minutes as well as recent remarks by Governor Philip Lowe hint the Bank is in no hurry to lower rates again.
In China, exports are forecast to have declined by 3.5% year-on-year in October, worsening slightly from the 3.2% drop of September, while imports are anticipated to have tumbled by 8.9% y/y.
On the corporate front, Q3 the pace of earnings announcements slows next week, but still several companies are releasing their earning results, including Walt Disney, Under Armour, Tapestry, Coty, Ralph Lauren, Capri Holdings, Uber, Qualcomm, British American Tobacco, CVS Health Corp., SoftBank Group, Adidas, Booking Holdings, Baidu, Toyota Motor, Activision Blizzard, Zoetis and TripAdvisor among others.