Heavy week ahead for the markets!

Currencies Direct October 15th 2012 - 2 minute read

It was reported this morning that the UK could return to growth
by the end of 2012 with high street sales expected to prove a
pivotal fighting ground to lead the recovery, in a somewhat
optimistic view with stabilising employment and lower inflation
being the lynchpin of the situation.

CPI data from China this morning has pointed at another fall in
inflation, MoM, for the republic, which will be a relief to the
nation’s people as they continue to struggle with crippling
inflation and a lack of domestic demand for goods. With GDP data
out this week for China there it is expected to show further

Angela Merkel, stating in her weekly podcast last week, said
that Greece is taking longer than expected to implement the key
reforms to receive Troika aid but in a turnabout face stated they
should be given more time to implement this which comes as a
surprise. However with IMF Chief Christine Lagarde also warning
that financial reform is affective momentum recovery, we could be
seeing the powers that be start to realise you cannot budget cut
your way out of a slump.

US retails sales out today are expected to show further declines
for the nation as the general public are slowing starting the pump
cash back into the ailing system. This is a key economic indicator
and comes as Ben Bernanke’s QE3 starts to take shape. 

We have a heavy week of data this week with CPI and RPI from the
UK, USA and Eurozone and ZEW German Economic Sentiment data on
Tuesday with  Chinese GDP and UK Retail Sales Thursday and
Existing home sales US Friday to draw a close to the week. The
markets will also be awaiting the results and press conferences for
the EU Summit on Thursday and Friday. 

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Currencies Direct

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