U.S. economic indicators, including the consumer price index, will be in focus this week, while the start of earnings season and trends in U.S. long-term interest rates will also draw attention. Japan will be closed for a public holiday on one day, providing a range of factors to help determine the direction of foreign exchange markets.
The week beginning 12 October is expected to be centered on U.S. economic indicators, with no monetary policy announcements scheduled from the major economies. The main events are the consumer price index on the 14th, followed by retail sales and the producer price index on the 15th.
Earnings season will get into full swing this week, with major financial institutions including JPMorgan Chase and Goldman Sachs expected to announce their results in succession. Trends in U.S. long-term interest rates and the direction of the U.S. dollar, yen and euro will be the market's focus.
The next U.S. monetary policy announcement is scheduled for 28 October, and the market will be watching for clues about policy developments in the week after next. Major spillover effects on the economy are expected when important indicators are released, and in foreign exchange trading, attention will be needed not only to speculation about intervention but also to market movements at the time of key indicator releases.
Monday, 12 October is a public holiday in Japan, the U.S. and Canada, with markets closed in those countries, which could also affect market conditions at the start of the week.