Macroeconomic/ geopolitical developments
- Amidst calm conditions, US and global stock indices pushed higher, buoyed by heightened optimism. This is mainly due to the financial landscape remaining relatively placid, with no major catalysts.
- The Bank of England’s decision to maintain interest rates highlighted a shift towards a more dovish stance, with increased speculation about potential rate cuts in June. They seem to be taking a wait-and-see approach contingent on incoming economic data.
- Anticipation mounts for April’s US CPI data, again surpassing the Fed’s 2% target, impacting policy decisions, but despite persistent price pressures, leaving cautious optimism ahead of the May 15 release.
Global financial market developments
- US and global equity averages extended slowly higher.
- US and European bond were little changed on the week.
- The US Dollar Index also marked time in consolidation mode.
- Gold futures rallied, breaking from a multi-week range.
- Oil futures stayed in consolidation mode.
Key this week
Central Bank Watch: Central bank activity is modest this week. The key focus will be the Fed speakers after the release of the US CPI data on Wednesday.
Macro Data Watch: The main macro data release this week is the US CPI data on Wednesday. Some other releases of note are the UK Employment report on Tuesday, EU GDP and employment changes Wednesday, EU CPI Friday.
| Date | Major Macro Data |
| 05/13/2024 | Nothing of note |
| 05/14/2024 | German CPI; UK Employment report; German ZEW Survey; US PPI |
| 05/15/2024 | EU GDP and Employment Change; US CPI and Retail Sales |
| 05/16/2024 | Japan GDP |
| 05/17/2024 | China Industrial Production and Retail Sales; EU CPI |
