Market movers for the week ahead - Rabobank

In view of analysts at Rabobank, this is going to be a busy week for the markets and we need to pay attention to US politics and see if the Mueller report is finally released or not.

Key Quotes

“We also need to pay equal attention to Chinese politics as the National People’s Congress (NPC) and the Chinese People’s Political Consultative Committee (CPPCC - China, like central banks, is not shy of acronyms) start their “two sessions” on Tuesday, stretching over the following two weeks: if there is going to be a US-China trade deal, surely something will have to emerge from these incredibly-dull and highly-orchestrated events? (Yet note the Journal is also reporting “Xi Jinping Works to Stifle Dissent Amid Concerns About China’s Economy” while Evergrande, one of China's largest property developers, will sell all its properties at a discount after its home sales tumbled in January amid a cooling market – that is if local authorities allow it to!)”

“Data-wise, today already saw Aussie building approvals rise 2.5% vs. an expected 1.5% but still -28.6% y/y, while Q4 inventories fell and company profits dipped, both pointing to a weak Q4 GDP print. In short, AUD is running on WSJ headlines and fumes. The rest of the day is relatively quiet.”

“Tuesday sees China’s Caixin services PMI and the RBA meeting, where more of the same confidence with a furrowed brow message can be expected. In Europe and the UK and US it is also services PMIs, along with new home sales.”

“Wednesday has Aussie Q4 GDP and US ADP employment and the BoC meeting as well as the IVEY PMI.”

“Thursday provides China’s foreign reserves, Aussie trade and retail sales, Eurozone GDP, and the ECB meeting then US labour costs.”

“Friday has Japanese GDP, Chinese trade data, German factory orders, Canadian jobs data, and US housing starts and the monthly non-farm payrolls report.”