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This week, markets await a series of crucial economic data and decisions that will shape future monetary policies and significantly impact the movements of global currencies and markets.
At the forefront of these events is the European Central Bank’s decision on Thursday, June 5 , amid expectations of a rate cut, potentially marking a significant shift in its policy after a long period of monetary tightening. Meanwhile, on Wednesday , the Bank of Canada will hold its meeting to announce its interest rate decision , a decision closely watched by investors amid slowing economic growth and high unemployment rates in Canada.
The most prominent event will be on Friday, June 6 , when US labor market data is released, led by the non-farm payrolls (NFP) report and the unemployment rate. These are two key indicators in assessing the strength of the US economy and determining the Federal Reserve’s interest rate direction in the coming months.
These three stations represent the key events of this week and will be decisive in guiding investor decisions and global market movements.
Tuesday, June 3
- 04:30 AM – Australia:
Minutes of the Monetary Policy Meeting
It does not include numerical data, but rather reflects the central bank’s tone regarding future monetary policy. - 09:30 AM – Switzerland:
Consumer Price Index (monthly) – CPI m/m- Expected: 0.1%
- Previous: 0.0%
- (Unspecified) – Japan:
Bank of Japan Governor Ueda’s speech
Monitoring the tone of speech is important for understanding monetary policy directions. - 12:00 PM – Eurozone:
Annual core inflation (Core CPI Flash Estimate y/y)- Expected: 2.4%
- Previous: 2.7%
- Annual headline inflation (CPI Flash Estimate y/y)
- Expected: 2.0%
- Previous: 2.2%
- 12:15 PM – Britain:
Monetary Policy Report Hearings
Reflects the Bank of England’s view on inflation and growth. - 5:00 PM – United States:
JOLTS Job Openings- Expected: 7.11 million
- Previous: 7.19 million
Wednesday, June 4
- 04:30 AM – Australia:
Gross Domestic Product (QoQ) – GDP q/q- Expected: 0.4%
- Previous: 0.6%
- 3:15 PM – United States:
ADP Non-Farm Employment Change- Expected: 111,000 jobs
- Previous: 62,000 jobs
- 04:45 PM – Canada:
Bank of Canada Rate Statement
Follow the tone of the statement to the direction of monetary policy.
Overnight Rate- Expected: 2.75%
- Previous: 2.75%
- 5:00 PM – United States:
ISM Services PMI- Expected: 52.1
- Previous: 51.6
- 5:30 PM – Canada:
Bank of Canada Press Conference
Thursday, June 5
- 11:30 AM – Britain:
Construction PMI- Expected: 47.4
- Previous: 46.6
- 3:15 PM – Eurozone:
Main Refinancing Rate- Expected: 2.15%
- Previous: 2.40%
- European Central Bank Monetary Policy Statement
- 3:30 PM – United States:
Unemployment Claims- Expected: 236,000
- Previous: 240,000
- 3:45 PM – Eurozone:
ECB Press Conference - 5:00 PM – Canada:
Ivey PMI- Expected: 48.3
- Previous: 47.9
Friday, June 6 – US Labor Market Data
- 3:30 PM – Canada:
Employment Change- Expected: -9.5K
- Previous: 7.4 thousand
- Unemployment Rate
- Expected: 7.0%
- Previous: 6.9%
- 3:30 PM – United States – (Highly Anticipated Data):
Average Hourly Earnings m/m- Expected: 0.3%
- Previous: 0.2%
- Non-Farm Employment Change
- Expected: 130,000 jobs
- Previous: 177,000 jobs
- Unemployment Rate
- Expected: 4.2%
- Previous: 4.2%
- Friday’s US data will be crucial in determining the direction of the Federal Reserve’s monetary policy, especially with the potential slowdown in job creation, with expectations pointing to a sharp slowdown from 177K to 130K.
- Continued high unemployment or weak wages may support market expectations of an interest rate cut in the coming months .
- The strength or weakness of this data will have a direct impact on the US dollar and financial markets in general.
