Muslims across the world are celebrating Eid al-Adha this week. Traders will focus on macroeconomic reports from Germany and the US ban on federal purchases of Huawei products. Later this week, two major retailers – Alibaba and Walmart – will present their quarterly reports.
August 12. Eid al-Adha and the Turkish lira
Muslims across the world are celebrating Eid al-Adha, so the trading volume of the Turkish lira will be at a low level. Also, the holiday may have impact on oil prices.
August 13. The Zew index in Germany. A US ban on Huawei products
At 09:00 GMT, Germany releases the ZEW Economic Sentiment index. Experts expect a negative result of -22.3 points. This report has almost always been negative since April 2018.
The U.S.-China trade war continues to intensify. The US ban on federal purchases of Huawei equipment and services comes into effect on August 13. The rule also covers ZTE and Hikvision. The PRC is likely to retaliate in the near future.
August 14. Q2 GDP in Germany
Germany releases data on Q2 at 06:00 GMT. Economists admit that the growth rate of the main EU economy may slow down. The data may not come out in line with the forecast of +0.4%.
August 15. US Retail Sales. US National Intelligence Chief to leave his post. An important day for S&P500
The US releases data on retail sales at 12:30 GMT. Any sign of a decline in consumer confidence will be the reason for the sell-off of the US assets. However, experts believe that the sales will come out at 0.3%. Two previous monthly reports exceeded this value.
U.S. National Intelligence Chief Dan Coats leaves his post on August 15. Earlier, it was reported that this decision was made due to disagreements with President Trump. Texas Republican John Ratcliff will replace Coats.
Two major corporations release their quarterly reports on August 15: Alibaba and Walmart. While the results of the Ali Baba online platform can be seen as an indicator of the world trade, the Walmart report indicates the US consumer confidence rate.
August 16. US Building Permits
The US release data on building permits at 12:30 GMT. This time, experts predict 1.270 million, which seems reasonable, judging by the latest similar reports.