What to Expect This Week

This week, in the United States labor data is the main release. It is expected that May unemployment rate will rise further and non-farm payrolls shrink by around 400K.

Yet, we are looking for an improvement in business sentiment shown by the Chicago PMI and ISM manufacturing figures. In the Euro Area, the key event is the ECB interest rate decision. We don’t expect any changes to the current policy but it will be interesting to listen to the ECB outlook. In Japan, the Tankan Manufacturing and Non-Manufacturing indexes may improve somewhat and industrial production may go back to positive territory. However, unemployment rate is likely to climb further. In the United Kingdom, first quarter GDP of -2.2% is likely to be confirmed. In addition, PMI surveys are due and we are looking for moderate gains in manufacturing, services and construction numbers. In Canada, we expect GDP for April to be unchanged. In Switzerland, inflation may show a stronger contraction of 1.1% on the year. Finally, in Australia, trade balance is expected to stay in deficit as imports growth outperforms exports.

Anna Fedec, contact@tradingeconomics.com
6/27/2009 11:37:28 PM