The Consumer Price Index will be out at 15:30 MT (GMT+2) on Wednesday, January 12.
Canadian annual inflation rallies from 15-month minimum
In Canada, the total rate of inflation managed to pick up from a 15-month minimum, although stayed quite below the Bank of Canada's objective.
As follows from the country’s statistics, the consumer price index managed to head north by up to 1.5% in February from 2018. It turned out to be higher than January’s outcome of 1.4% that had been its lowest reading since October 2017. Besides this, prices went up by nearly 0.7% from February.
Financial analysts had hoped prices would tack on by 0.6% in the month as well as 1.4% year-on-year. As a matter of fact, without gasoline, core consumer prices managed to surge by up to 1.5% from 2018 and went up by 0.7% from February.
The Bank of Canada tries to keep inflation at 2%, which appears to be the midpoint of a target range of 1%-3% for the medium term.
Eventually, on March 6, the Bank left its official interest rates on hold, warning of the potential damage to both confidence as well as the Canadian economy from everlasting trade clashes.
It’s going to take time to evaluate the whole persistence of below-potential surge as well as the implications for the inflation outlook. Well, with soaring uncertainty as for the timing of future rate hikes, the Governing Council is going to closely monitor developments in crude markets, household spending, and also global trade policy.
Besides this, retail sales headed south by 0.3% in January, in contrast with December’s outcome of 0.1%, as Statistics Canada revealed on Friday.
Financial analysts had hoped sales would tack on by up to 0.4%.
By the way, a leap in food as well as building material companies' receipts didn’t managed to compensate the weakness in car sales.
The United States will publish Core PCE Price Index on Thursday at 15:30 GMT+2.
The United Kingdom will publish the Inflation Rate on November 17, at 09:00 MT (GMT+2). How will it impact the markets?
Main news that will drive the market in the upcoming week include CB Consumer Confidence Index, Canadian GDP, and US Core PCE Price Index
The Federal Reserve (Fed) will announce its Interest Rate Decision and make a statement about the future monetary policy on Wednesday, September 21, GMT+3. After the higher-than-expected inflation numbers published on September 13, there’s almost no doubt the Federal Reserve will come up with another 75-basis-point rate hike. However, surprised by the CPI numbers, several Fed members announced the possibility of a 100-basis-point rate hike on Wednesday.
Every week we expect many interesting events that can shake the market.