What to Expect This Week

This week, in the United States, the Federal Reserve Open Market Committee meeting will be in focus. Although we don't expect any changes in the interest rate, the FOMC may reveal more details about an exit strategy from quantitative easing. Elsewhere, fourth quarter GDP estimate may surprise us on the positive side, showing over 5% growth. Also, consumer confidence may rise slightly in January.

In the Euro Area, it is likely that unemployment rate inched higher to 10.1% in December. In addition, CPI flash estimate for January may show significant increase due to higher energy costs. In Japan, the Bank of Japan meets but we don't expect any changes in the current monetary policy. In addition, inflation is likely to rise, but still remain in negative territory and trade surplus to widen. In the United Kingdom, first Q4 GDP estimate should show a positive print. Also, consumer confidence may pick up. In Canada, monthly GDP for November is likely to be better than expected. In Australia, fourth quarter inflation is expected to rise. Finally, in New Zealand, interest rates may stay unchanged.

1/23/2010 1:59:28 PM