🤑 It doesn’t get more affordable. Grab this 60% OFF Black Friday offer before it disappears…CLAIM SALE

Week Ahead Economic Preview: Week Of 10 August 2020

Published 07/08/2020, 06:18
Updated 05/03/2021, 15:50
  • Second quarter GDP data for Japan, the UK, Russia, Hong Kong SAR, Taiwan and Singapore
  • US, China, Eurozone, UK and India industrial production
  • US and China retail sales
  • UK labour market stats
  • The coming week will see a clutch of GDP updates to shed further light on the extent of the global economic collapse at the height of the COVID-19 pandemic in the second quarter, but will also see the release of more timely industrial production and retail sales data for key economies which will help assess recovery paths. In addition to the economic data, the earnings season continues with more than 600 firms reporting.

    After news of the US economy contracting at a record 32.9% annual rate in the second quarter, eyes turn to industrial production and retail sales updates for July to gauge the recovery path heading into the third quarter. June had already shown rebounds in sales and production, but doubts as to the durability of these rebounds have been raised amid redoubled efforts to stem increased COVID-19 infection rates. PMI data, for example, showed demand faltering during July amid the re-imposition of lockdown measures.

    Similarly, industrial production and retail sales data, as well as investment numbers, will be eyed in China to steer estimates of third quarter economic performance. China saw GDP rise by 3.2% on a year in the second quarter after falling 6.8% in the first quarter - the first such fall for decades - reflecting China's earlier lockdown and subsequent reopening of its economy. The rest of Asia locked down later, which will likely be reflected in dismal second quarter GDP numbers for Japan, signalling a deepening recession, as well as Hong Kong SAR, Taiwan and Singapore.

    In Europe, UK second quarter GDP is expected to show a double-digit decline but the monthly estimate for June, including manufacturing, services and construction updates, should cement signs of recovery taking hold after the recent improvements evident in PMI data. Job market data will also be important in assessing wider UK recovery prospects. Similarly, industrial production numbers for the eurozone will be eagerly awaited amid growing hopes of a strong initial industrial rebound for the region.

    "Disclaimer: The intellectual property rights to these data provided herein are owned by or licensed to Markit Economics Limited. Any unauthorised use, including but not limited to copying, distributing, transmitting or otherwise of any data appearing is not permitted without Markit’s prior consent. Markit shall not have any liability, duty or obligation for or relating to the content or information (“data”) contained herein, any errors, inaccuracies, omissions or delays in the data, or for any actions taken in reliance thereon.

    In no event shall Markit be liable for any special, incidental, or consequential damages, arising out of the use of the data. Purchasing Managers' Index™ and PMI™ are either registered trademarks of Markit Economics Limited or licensed to Markit Economics Limited. Markit is a registered trade mark of Markit Group Limited."

    Original Post

Latest comments

Loading next article…
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.