News that dominate this week.

US earnings, US-China trade talks, US jobs report, central bank meetings from Fed and BoE, Eurozone GDP and inflation, US price index and manufacturing PMIs across the globe will dominate the week.

In US, Fed is expected to hold interest rates steady. While Fed chair Powell is expected to acknowledge the superior data and easing financial conditions, it is unlikely that he will begin to open the case for shifting the Fed bias back to tightening.

Nonfarm payrolls are forecast to have risen by 180K in April, easing from the prior month. The unemployment rate is expected to have remained unchanged at 3.8%, while average hourly earnings are forecast to head back up to 3.4% y/y from 3.2% in March.

The Eurozone will report its preliminary estimate of GDP growth on Tuesday, but the data is unlikely to follow the same trend as in the US and China. The Eurozone economy is projected to have expanded by 0.1% q/q in the first quarter of 2019 compared to 0.2% in the prior quarter.

In UK, BoE is expected to leave interest rates unchanged due to the ongoing Brexit deadlock. The May meeting should gain some attention as the bank will publish its quarterly inflation report, which includes the latest economic projections, while there will be also a press conference by Governor Mark Carney.

On the corporate front, the earnings season continues into high gear with a number of companies scheduled to report their earning results including Alphabet, Apple, ConocoPhillips, BP, General Motors, Volkswagen, Fiat Chrysler, AMD, Royal Dutch Shell, Samsung, General Electric, McDonald’s, Merck, Mondelez, Eli Lilly, Pfizer, Qualcomm, CBS, HSBC, Mastercard and Adidas.


Read more weekly updates here. The Market reports are prepared by Blackmount Group advisors weekly.

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