Bank of Canada Holds Interest Rate at 2.25% Amid Trade and Global Uncertainty 
Japan Declines Comment on BOJ’s Absence From Global Support Statement for Fed Chair Powell. Source: Asturio Cantabrio, CC BY-SA 4.0, via Wikimedia Commons 
Copper Prices Hit Record Highs as Metals Rally Gains Momentum on Geopolitical Tensions 
China Factory Activity Slips in January as Weak Demand Weighs on Growth Outlook 
RBA Expected to Raise Interest Rates by 25 Basis Points in February, ANZ Forecast Says 
OCBC Raises Gold Price Forecast to $5,600 as Structural Demand and Uncertainty Persist 
Bank of Korea Expected to Hold Interest Rates as Weak Won Limits Policy Easing 
India Budget 2026: Modi Government Eyes Reforms Amid Global Uncertainty and Fiscal Pressures 
ECB’s Cipollone Backs Digital Euro as Europe Pushes for Payment System Independence 
Dollar Struggles as Policy Uncertainty Weighs on Markets Despite Official Support 
Asian Currencies Trade Flat as Dollar Retreats After Fed Decision 
Wall Street Slips as Tech Stocks Slide on AI Spending Fears and Earnings Concerns 
According to the CME Fed watch tool, market expectations for a Federal Reserve rate cut have decreased from 97% to 87% due to mixed U.S. economic data. The European Central Bank (ECB) is anticipated to cut rates by 25 basis points, given the economic challenges in the Eurozone, particularly in Germany. Market eyes Upcoming CPI releases from China, Canada, and New Zealand for further action from central banks. Major releases from the US are retail sales and initial jobless claims (Oct 17th, 12:30 pm GMT).
Earnings season is set to gain momentum, with major banks, including Blackrock and Bank of America, reporting results after JP Morgan exceeded profit projections. The positive market sentiment is reflected in recent gains in U.S. and European indices, despite ongoing concerns about oil prices and geopolitical factors.
Overall, the upcoming week is significant for economic data and market dynamics, as central banks' decisions could influence investor sentiment and trading strategies
UK Economic events to watch
UK CPI figures released on Wednesday are major economic data crucial for determining the Bank of England's potential actions, with a 75% chance of a 25-basis point cut on November 7 and a 60% chance of another in December. Upcoming reports on August employment (Oct 15th, 2024 6 am GMT) and September retail sales ( will assess wage growth and consumer spending. In the U.S., the earnings season becomes the focus, with major bank reports and retail sales data expected to provide insights into economic health. This week is packed with critical data influencing monetary policy and market sentiment. Overall, market participants are closely monitoring these developments.
