The Week Ahead Europe & UK: Markets to Focus on U.S. Due to Light Schedule
(CEP News) The week ahead is on the light side for the UK and the euro zone, with many market participants admitting to looking towards the economic releases across the Atlantic to dictate market strategy.
Next week, US economic data will be in the focus of financial markets, said Dr. Joerg Kraemer at Commerzbank. High inventory levels, plunging exports and moribund domestic demand are pointing to further production cuts in US industry whilst capacity utilization has fallen to its lowest level in the past 40 years.
According to the economics department at UBS, the release of final euro zone consumer price index (CPI) data should draw some attention, with economists expecting no revisions to headline CPI. It is projected to have risen 0.4% month-over-month and an annualized 0.6%.
Although the data for headline inflation are final readings, this will be the markets first look at core CPI for March, says the UBS report. Annual core CPI is expected to fall to a 1.4% level in March from 1.7% the month prior.