Highlights
The focus for this week is on the US consumer price index on Tuesday, which comes on the first day of the two-day policy meeting of the Federal Open Market Committee that ends on Wednesday.
The May CPI report is one of the last key indicators for the Federal Reserve policymakers to assess before deciding whether the central bank should pause or raise interest rates further. The consensus call is no action at this point.
The data calendars in Europe and North America are thin on Monday.
The US Treasury's monthly report on the federal government budget balance is forecast to show a $205.0 billion deficit in May that would compare with a $66.2 billion deficit in May 2022 and a surplus of $176.2 billion in April this year. May is the eighth month of the fiscal year.
Among Asian data, India's consumer inflation is expected to ease slightly to a 4.4 percent rise on the year in May from a 4.7 increase in April, which was much lower than the consensus call of a 5.5 percent rise.
Industrial production in India is forecast to show a 1.1 percent year-over-year gain in May, with the pace of growth decelerating slightly from 1.4 percent in April.
Last week, the Reserve Bank of India left its policy interest rate unchanged at 6.50 percent. Its policy-making committee said it will keep a close watch on the evolving inflation and growth outlook and will take further monetary actions promptly and appropriately as required to keep inflation expectations firmly anchored and to bring down inflation to its medium-term target of around 4 percent.
The May CPI report is one of the last key indicators for the Federal Reserve policymakers to assess before deciding whether the central bank should pause or raise interest rates further. The consensus call is no action at this point.
The data calendars in Europe and North America are thin on Monday.
The US Treasury's monthly report on the federal government budget balance is forecast to show a $205.0 billion deficit in May that would compare with a $66.2 billion deficit in May 2022 and a surplus of $176.2 billion in April this year. May is the eighth month of the fiscal year.
Among Asian data, India's consumer inflation is expected to ease slightly to a 4.4 percent rise on the year in May from a 4.7 increase in April, which was much lower than the consensus call of a 5.5 percent rise.
Industrial production in India is forecast to show a 1.1 percent year-over-year gain in May, with the pace of growth decelerating slightly from 1.4 percent in April.
Last week, the Reserve Bank of India left its policy interest rate unchanged at 6.50 percent. Its policy-making committee said it will keep a close watch on the evolving inflation and growth outlook and will take further monetary actions promptly and appropriately as required to keep inflation expectations firmly anchored and to bring down inflation to its medium-term target of around 4 percent.
Definition
Market Focus details key factors in the coming day that will impact the economic outlook and the financial markets. These include central bank events, economic indicators, policymaker speeches as well as expected political and corporate developments.
Description
Keeping up-to-date with event schedules and the economic calendar is key to understanding the global financial system. Econoday's Market Focus allows investors and policymakers to carefully track what will be making news and moving the financial markets in the coming day.
