BoE Quarterly Inflation Report

In the US, markets will come across a barrage of data releases, including headline retail sales figures for July which is likely to remain unchanged. This indicator, along with the preliminary Michigan consumer sentiment, will provide further information on consumer trends during the third quarter.

Market participants will track the July Consumer Price Index (CPI) which is expected to soften on the back of the recent decline in oil prices. Elsewhere, on the manufacturing side markets will get hold on the Industrial production data for July. Markets will also take a view on the consumer sentiment during the month. Trade balance figures, business inventories, and import prices completes the week's data schedule.

In the UK, the main focus will be the Bank of England's quarterly inflation report. Besides the Consumer Price Index (CPI) along with the Producer Price Index (PPI), which are expected to be released this week, will provide further insight on the pricing levels in the UK. Meanwhile, the labour market report will provide details on the unemployment rate during June. Trade balance figures, along with house prices, will close the week's data release.

In the Eurozone, the main attention will be drawn towards the flash estimate of the second quarter Gross Domestic product (GDP) following the release of German, French and Spanish preliminary GDP figures. Markets will also have the final estimate of the July Harmonised Index of Consumer Prices (HICP) for the whole euro area. In terms of activity, this week markets will see the release of the Industrial Production figures for the Eurozone along with the French current account figures.

This article has been prepared by Bank of Valletta plc, which is licensed to conduct investment services business by the MFSA, for your general information only. This information is not a solicitation or offer by the bank to acquire or sell securities, nor does it constitute any form of advice by the bank. Appropriate advice should be obtained before making any such decision. Past performance is not necessarily a guide to future performance and the value of your investments may fall or rise.