The week ahead: 14-18 July

A look ahead to the major events, economic releases and company news expected next week.

Google headquarters: Google announces Q2 results next Thursday
Source: Bloomberg

It was a week of equity losses, as the eurozone crisis exploded back onto screens with reports of problems at Portugal’s Espiriton Santo. At the end of the week indices seem calmer, holding above key support, but the damage to confidence has been done.

Gold surged, however, pushing through $1330 as the ‘flight to safety’ trade was reignited. Meanwhile, the euro fought hard to hold $1.36 against the dollar, even as the pound refused to move lower despite no change from the Bank of England.

Economic reports


BoJ meeting (July), tentative: This is not expected to see any change, but watch for commentary around deflation issues.  Market to watch: USD/JPY, Nikkei 225

RBA minutes (July), 2.30am: All eyes shift to the RBA as they publish their latest set of minutes. Market to watch: AUD/USD

UK CPI (June), 9.30am: Price growth in the UK should rise to 1.6%, from 1.5% in May year-on-year, although it is expected to hold steady at -0.1% month-on-month. Market to watch: GBP/USD, EUR/USD

German ZEW (July), 10am: This should see an edging back of readings from the previous month, in line with the weakening of the German economy. Market to watch: DAX, EUR/USD, EUR/GBP

US retail sales (June) and Empire manufacturing (July), 1.30pm: Sales in the US are forecast to rise to 0.6% MoM, with the Empire manufacturing index expected to weaken to 17 from 19.28. Market to watch: US indices and dollar crosses


Chinese retail sales & industrial production (June), GDP (2nd quarter), 3am: All these gauges should increase, reinforcing the idea that the Chinese economy is rebounding. Market to watch: China A50, USD/JPY, AUD/USD, copper

UK unemployment figures (May/June), 9.30am: These figures are expected to show further improvement in the UK economy, with the ILO rate dropping to 6.5% from 6.6% in April. Market to watch: GBP/USD, EUR/GBP

US PPI (June), 1.30am: Price growth should rebound in June from May, hitting 0.2% MoM from -0.2% a month ago, although the YoY figure is expected to drop to 1.9% from 2%. Market to watch: Dollar crosses

Bank of Canada rate decision (July), 3pm: The RBC is forecast to leave rates on hold at 1%. Market to watch: CAD/USD

US Beige Book (July), 7pm: This informal survey of the US economy helpes to gauge the economic situation. Markets to watch: US indices, dollar crosses


Eurozone CPI (June), 10am: While YoY figures are not expected to change from 0.5%, the MoM growth rate should rise to 0.1% from -0.1% in May. Market to watch: EUR/USD, EUR/GBP

US housing starts, building permits (June), jobless claims (week of 10 June), 1.30pm: Housing starts and building permits should rise from the previous month, but jobless claims are forecast to rise to 310,000 from 304,000. Market to watch:  US indices, dollar crosses

Phildelphia Fed (July), 3pm: This index is expected to fall to 16 from 17.8, but it tends to be quite volatile so the reading may well be markedly different. Market to watch: US indices, dollar crosses


Canadian CPI (June), 1.30pm:  Growth YoY is forecast to rise to 2.4% from 2.3% in May YoY, although MoM price growth is expected to slacken to -0.2% from 0.5%. Market to watch: USD/CAD

University of Michigan confidence (July, preliminary), 2.55pm: This confidence reading is expected to rise to 83, from 82.5 for the final June reading. Market to watch: US indices, dollar crosses


Company announcements


Aveva, Citigroup


Michael Page, Dairy Crest, ITE, JPMorgan Chase, Goldman Sachs, CSX, Intel, Yahoo!, Johnson & Johnson


London Stock Exchange, Fresnillo, Rio Tinto, BTG, RPC, Evraz, Severn Trent, British Land, US Bancorp, BlackRock, Bank of America, eBay


Land Securities, Computacenter, SSE, Philip Morris, Morgan Stanley, IBM, Schlumberger, Google, AMD


Honeywell, General Electric, BNY Mellon, American Airlines


US earnings season begins in earnest this week, after a good start from Alcoa. After a weaker first quarter, this set of earnings needs to be encouraging to avoid worrying investors. 

This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money. Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.