Tuesday Economic Calendar: Looking for an Alpha
As the dust settles on last week’s global market volatility, investors are scrambling to identify fresh opportunities and monitor key economic data that could set the tone for the week. Tuesday’s calendar is packed with a range of indicators that can provide valuable insight into the macroeconomic landscape.
Headliners
In the United States, the first major release on Tuesday’s schedule is the August Consumer Price Index (CPI) at 8:30 AM ET. This crucial reading will shed light on inflation dynamics, with attention focused on how the headline inflation rate has adjusted since the past month. An uptick would reinforce the expectation of further tightening by the Federal Reserve, supporting the US Dollar and weighing on risk assets like stocks and emerging markets.
Over in Europe, the spotlight is on Germany, where the influential ZEW economic sentiment index for September is slated for release. This closely-followed indicator often serves as an early warning signal for the nation’s economic cycle, making its reading particularly essential for market analysts.
Emerging Markets on the Radar
In the meantime, investors keeping a close eye on emerging market currencies and their respective central bank decisions will receive a treat later in the evening. The Philippines’ Bangko Sentral ng Pilipinas (BSP) is widely expected to adopt a dovish stance, taking into account both the ongoing lockdowns and signs of economic rebalancing within the country. Meanwhile, expectations are running low for any radical changes from Russia’s Central Bank, given a relatively stable financial landscape.
Other Noteworthy Releases
Canada’s July gross domestic product (GDP) figures will see the light of day, along with the release of the quarterly GDP estimate and the seasonally adjusted annual growth rate. Furthermore, the Italian National Institute for Statistics (Istat) is set to drop its August Markit PMI report for the manufacturing, services, and composite sectors. This trifecta of data from the euro area’s third-largest economy could add valuable context for investors trying to gauge the underlying strength of its economy.
In conclusion, the Tuesday economic calendar is stacked with a diverse selection of indicators. While some announcements may be particularly influential for various asset classes or regions, other releases could, in theory, have far-reaching implications for traders and investors everywhere.
