Markets brace for April inflation prints from Japan, UK, and Canada alongside RBA minutes detailing a 25bps rate hike.
A packed economic calendar this week centers on inflation data from Japan, the UK, and Canada for April, alongside the Reserve Bank of Australia’s May meeting minutes. The RBA recently raised its cash rate by 25bps to 4.35%, marking a third consecutive hike, and signaled inflation may peak at 4.8% in June before returning to target only by mid-2027.
Key releases include Japanese GDP for Q1, UK jobs data for March, and Canadian CPI, which follows a prior 2.9% annual print. The RBA’s minutes may clarify risks from Middle East tensions, which the bank warned could add stagflationary pressure. Other highlights include global flash PMIs for May and U.S. jobless claims.
Traders will watch for shifts in central bank rhetoric, particularly around inflation persistence and growth outlooks, as markets price in policy trajectories for the second half of 2024.