The week of April 6th to April 12th features a lineup of significant financial events. All times mentioned are in Beijing Time.
Major themes for the upcoming week include: Macroeconomic focus will be on inflation data and monetary policy from both the United States and China. Rising energy prices, driven by tensions involving Iran, are expected to push the month-on-month U.S. Consumer Price Index (CPI) for March to its highest level since 2022. This could increase pressure for a more hawkish tone in the minutes from the latest Federal Reserve meeting. Domestically in China, key data releases include the March CPI and Producer Price Index (PPI), along with financial aggregates. Additionally, central banks in India, New Zealand, and South Korea are scheduled to announce their interest rate decisions, with markets anticipating all three will hold rates steady. Geopolitical attention remains on the situation involving Iran. A demand from the U.S. for Iran to open the Strait of Hormuz by April 6th was rejected. Coupled with the expiration of a U.S. license permitting some Russian oil sales, supply risks stemming from geopolitical tensions are poised to directly impact oil prices and safe-haven assets. Furthermore, the NATO Secretary General is scheduled to visit the U.S. for meetings. On the corporate and industry front, earnings are due from companies including Suzhou Tfc Optical Communication Co.,Ltd. and Hygon Information Technology. Samsung Electronics may issue an earnings guidance preview. The commercial space sector anticipates multiple launch activities. The China Information Technology Expo will showcase advanced technologies. Price adjustments for Xiaomi phones reflecting pressure in the memory chip supply chain, Nio's new vehicle technology launch, and the start of the Q1 earnings season on the Shenzhen Stock Exchange will be key drivers for individual stock movements. Please note, markets will be closed on Monday for the Easter holiday in many Western countries and for the Qingming Festival in China, affecting both A-shares and Hong Kong markets.
Key Economic Indicators:
China: Data releases include foreign exchange reserves on April 7th. China's CPI and PPI for March are due on April 10th. Financial data for March is expected during the week. United States: The March CPI report on April 10th is highly anticipated, with forecasts suggesting a significant monthly increase, the largest since June 2022, primarily due to energy costs. The February Core PCE price index, the Fed's preferred inflation gauge, will be released on April 9th. The final Q4 GDP figures are also due. Central Banks: The Reserve Bank of India, Reserve Bank of New Zealand, and Bank of Korea are all expected to keep interest rates unchanged in their upcoming meetings. Japan: Data on labor cash earnings for February will be released on April 8th.
Federal Reserve: The minutes from the March FOMC meeting will be published. The minutes are likely to reflect a cautious, wait-and-see approach by the committee given the high uncertainty stemming from geopolitical events. A speech from Chicago Fed President Austan Goolsbee is also scheduled.
Geopolitical Events: The situation involving Iran remains a primary focus. The U.S. license allowing certain transactions related to Russian oil sales is set to expire on April 11th. The NATO Secretary General will visit the U.S. from April 8th to 12th.
Corporate and Industry Events: Nio will hold a technology launch event for its ES9 model on April 9th. The 14th China Information Technology Expo (CITE) will be held in Shenzhen from April 9th to April 11th. A meeting of ASEAN Finance Ministers and Central Bank Governors will take place from April 7th to 10th. The commercial space sector is active with several planned launches in early April.
Corporate Earnings: Samsung Electronics may issue its earnings guidance for the first quarter, with market expectations pointing to robust profits driven by a strong memory chip cycle. Companies scheduled to report earnings include Suzhou Tfc Optical Communication Co.,Ltd., Hygon Information Technology, Inspur Information, Aeon, Fast Retailing, Qatar National Bank, Applied Digital, and ExxonMobil. The Q1 earnings season for Shenzhen-listed companies begins, with Wohua Pharmaceutical set to be the first to report on April 8th.
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