Weekly Reports | Aug 22 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
And here we are back at new highs. The ASX200 closed at a new post-GFC high yesterday and the S&P500 closed at a new all-time high last night. Ukraine? Never heard of it. Fed rate rise? Not bovvered.
While many still believe the first real hint of a Fed rate rise being imminent will set off a correction, it appears more and more investors are happy to run with the positive US data story that would underpin such a development. It is becoming more difficult to gauge what market sentiment is towards a rate rise, and even more difficult to gauge what the Fed is thinking. They seem to think something different every month.
The latest Fed minutes, released Wednesday night, appeared to suggest a sudden swing to hawkishness. But the call was “Wait for the Hole”. Janet Yellen will speak at the Jackson Hole symposium tonight and her every word will be assiduously analysed. As a side act, Mario Draghi will also have the crowd’s attention.
The first revision of the US June quarter GDP will be released next week. There are plenty of other data points for the market, and the Fed, to consider as well, including new and pending home sales, two house price indices, consumer confidence, durable goods, the Richmond Fed index, and personal income and spending.
In Europe, the IFO business sentiment index will be closely watched as will unemployment numbers and the flash estimate of eurozone CPI, due on Friday.
Japan will provide a data dump of monthly inflation, retail sales, industrial production and jobs numbers on Friday.
In Australia, the last choc-a-block week of the local results season will coincide with the first of the June quarter data releases, ahead of the following week’s GDP release. Next week we’ll see construction work done and capex, along with July private sector credit.
Wednesday and Thursday of this week were the peak days for the results season but the calendar remains consistently full from here to next Friday. Once again there are too many reports to attempt to single out highlights, so please refer to the FNArena Calendar (link above).
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