Weekly Market Insights: Key Economic Events and Market Movements

Top Stories Summary:

• US Jobs Data:The U.S. added 206,000 new hires in June, exceeding expectations.

• Tesla Rally:Teslas stock surged following a two-day rally, inspiring Elon Musk to comment on short sellers.

• Bitcoin Decline:Bitcoin dropped to a four-month low, losing 15% in a week.

• GBP/USD:Sterling strengthened to $1.28 after the UK Labour Partys landslide victory.

• S&P 500 Records:The S&P 500 and Nasdaq hit new highs, driven by Teslas performance.

• Euro Gains:The euro rose above $1.08 after mixed signals from Fed minutes.

Important Economic Calendar Events for This Week (GMT +8)

USA:

• NFIB Small Business Optimism (Jun)– July 10, 2024, 18:00

• Description:Measures the level of optimism among small businesses in the USA. Higher optimism can indicate economic confidence and potential growth.

• Impact:Higher-than-expected optimism could strengthen USD by indicating business confidence. Lower-than-expected optimism could weaken USD due to concerns about business outlook.

• Core CPI (MoM) (Jun)– July 11, 2024, 20:30

• Description:Measures the change in the price of goods and services, excluding food and energy. It is a key indicator of inflation.

• Impact:Higher-than-expected core inflation could strengthen USD by indicating underlying inflationary pressures. Lower-than-expected core inflation could weaken USD.

• CPI (YoY) (Jun)– July 11, 2024, 20:30

• Description:Measures the annual change in the price of goods and services. It is a broad indicator of inflation.

• Impact:Higher-than-expected inflation could strengthen USD as it signals potential for rate hikes. Lower-than-expected inflation could weaken USD due to easing inflation pressures.

• Initial Jobless Claims– July 11, 2024, 20:30

• Description:Measures the number of individuals who filed for unemployment insurance for the first time during the past week.

• Impact:Lower-than-expected claims could strengthen USD as it indicates a healthy labor market. Higher-than-expected claims could weaken USD due to rising unemployment concerns.

• PPI (MoM) (Jun)– July 12, 2024, 20:30

• Description:Measures the change in the price of goods sold by manufacturers. It is an indicator of inflation at the wholesale level.

• Impact:Higher-than-expected producer prices could strengthen USD as it signals potential inflationary pressures. Lower-than-expected PPI could weaken USD.

• Michigan Consumer Sentiment (Jul)– July 13, 2024, 22:00

• Description:Measures the level of consumer confidence in economic activity. Higher sentiment indicates increased consumer confidence and spending.

• Impact:Higher-than-expected sentiment could strengthen USD by indicating consumer confidence. Lower-than-expected sentiment could weaken USD due to concerns about consumer spending.

Japan:

• Current Account n.s.a. (May)– July 10, 2024, 07:50

• Description:Measures the difference in value between imported and exported goods, services, income flows, and unilateral transfers during the reported month.

• Impact:Higher-than-expected current account surplus could strengthen JPY by indicating strong trade balance. Lower-than-expected surplus could weaken JPY.

• PPI (YoY) (Jun)– July 11, 2024, 07:50

• Description:Measures the annual change in the price of goods sold by manufacturers. It is an indicator of inflation at the wholesale level.

• Impact:Higher-than-expected producer prices could strengthen JPY by signaling potential inflationary pressures. Lower-than-expected prices could weaken JPY.

• Core Machinery Orders (MoM) (May)– July 11, 2024, 07:50

• Description:Measures the change in the total value of new orders placed with manufacturers for machinery, excluding ships and utilities.

• Impact:Higher-than-expected orders could strengthen JPY by indicating strong industrial activity. Lower-than-expected orders could weaken JPY.

Eurozone:

• ZEW Economic Sentiment (Jul)– July 11, 2024, 17:00

• Description:Measures the six-month economic outlook for the Eurozone by surveying financial experts.

• Impact:Higher-than-expected sentiment could strengthen EUR by indicating positive economic outlook. Lower-than-expected sentiment could weaken EUR.

• Industrial Production (MoM) (May)– July 12, 2024, 16:00

• Description:Measures the change in the total inflation-adjusted value of output produced by manufacturers, mines, and utilities.

• Impact:Higher-than-expected production could strengthen EUR by indicating industrial growth. Lower-than-expected production could weaken EUR.

UK:

• GDP (MoM) (May)– July 11, 2024, 14:00

• Description:Measures the monthly change in the total value of goods and services produced by the UK economy.

• Impact:Higher-than-expected GDP growth could strengthen GBP by indicating economic strength. Lower-than-expected GDP growth could weaken GBP.

• Manufacturing Production (MoM) (May)– July 11, 2024, 14:00

• Description:Measures the change in the total inflation-adjusted value of output produced by manufacturers.

• Impact:Higher-than-expected production could strengthen GBP by indicating manufacturing sector growth. Lower-than-expected production could weaken GBP.