What’s Happening Next Week?

This story features ENERGY RESOURCES OF AUSTRALIA LIMITED, and other companies. For more info SHARE ANALYSIS: ERA

By Andrew Nelson

The new year is upon us and despite the state of most developed economies, Australia has yet to post one quarter of contraction. With hopes of avoiding recession held firm and dear by many, next week’s data will either help fan the flames of these hopes or provide Australians with a bucket of cold water. Either way, there’s no doubting the round of poor data released this week is sure to bring the reality of US economic weakness back into focus.

Thursday’s unemployment read will be the key, with both the bear and bull camps seeing employment as a key indicator for any recovery or further downturn. The good news is that Commonwealth Bank chief economist Michael Blythe expects the read to actually to recover some of the previous month’s losses.

Here’s hoping.

Monday starts with reads from New York on Friday including non-farm payrolls, unemployment and average hourly earnings, all from December. The Kiwis put out December business PMI, while in Australia we’re faced with overseas arrival and departure data and the ANZ job ads series for December. The job ads read will likely garner much discussion as employment trends become more and more important in gauging the health of the Australian economy.

Tuesday sees a slew of data from around the region. NZ 4Q business confidence will be out early and will share the stage with China’s latest trade balance read and November current account and trade balance reads from Japan, as well as the country’s December economy watchers survey. On the local from, Macquarie Infrastructure ((MIG)) puts out its quarterly traffic numbers.

Wednesday starts with November house prices from the UK and a November trade balance read from the US. Close to home, New Zealand releases November building permits and Australia sees November investment lending and the December NAB business confidence read.

The local corporate calendar has Energy Resources of Australia ((ERA)) putting out its December quarter production report.

Thursday brings us November industrial production and CPI outcomes from the Eurozone, while the US provides December retail sales and November business inventories. In our region we’ve got NZ house prices for December and November machine orders and December domestic CGPI from Japan.

Australia holds its breath for the December unemployment read and there’s also the RBA Bulletin. On the corporate front, Rio Tinto ((RIO)) releases its December quarter production report.

There’s little on the local calendar for Friday, so the Eurozone rate decision (cut or no cut?) and a host of big reads from the US, including initial jobless claims and the empire manufacturing index and Philly Fed comments will have to suffice.

That’s it for the week. If you need any more information, please check the calendar on the site, or tune in first thing Monday to read The Week Ahead.

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