Weekly Reports | Jun 13 2014
For a more comprehensive preview of next week's events, please refer to "The Monday Report", published each Monday morning. For all economic data release dates, ex-div dates and times and other relevant information, please refer to the FNArena Calendar.
By Greg Peel
Markets in both the US and Australia were wobbling at their respective recent highs, and this often implies a pullback to consolidate. We are now seeing this, albeit Iraq has thrown up an uncertainty factor which is contributing to a shift to the sidelines. How this plays out is anyone’s guess.
Could we finally be due for the long-awaited correction to more attractive valuations? That would actually be a plus in the wider scheme, but is a stretch when the world is on the hunt for reliable yield.
The US economy is very much in focus at present and to that end next week brings data on industrial production, housing market sentiment and starts, inflation, and the Empire State and Philly Fed manufacturing indices. The Fed will also meet and publish a policy statement on Wednesday night with an accompanying press conference. Granny Yellen will no doubt be very careful in choosing her words this time around.
The eurozone’s official CPI result for May is due next week but it no longer matters, given the ECB will continue to do “whatever it takes”.
There are no data releases to speak of for Australia next week but the minutes of the June RBA meeting are due on Tuesday and Governor Stevens will speak on Wednesday.
On the local corporate front, Asciano ((AIO)) has a scheduled update while any other last minute guidance changes will be unscheduled (and not positive).
Thursday sees the expiry of the June SPI and options and ASX index options.
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