4 Major Central Banks Steer the Week with Interest Rate Decisions

As global markets prepare to clarify a new roadmap for monetary policies, interest rate decisions from 4 major central banks form the main agenda of the week. Alongside the interest rates to be set by the central banks of the US, the Eurozone, Canada, and Japan, US growth and consumer price inflation (CPI) data will be decisive in global asset pricing.

On the first trading day of the week, the Ifo Business Climate Index in Germany stands out on the European side, with the indicator having been recorded at the 89.9 level in the previous period. On the US front, the Chicago Fed National Activity Index and the Dallas Fed Manufacturing Index will be monitored. On Tuesday, labor force data will be released in Turkey; in the previous period, the unemployment rate stood at 7.8% and the labor force participation rate stood at 52.5%. On the same day, durable goods orders, the Conference Board consumer confidence index, and new home sales will be announced in the US, while South Korea will announce preliminary growth data.

When will the Fed and ECB announce their interest rate decisions?

Wednesday will see one of the busiest junctures of the monetary policy calendar. The Fed will announce its interest rate decision at 21:00 Turkey time, followed by a press conference at 21:30. The Bank of Canada, whose policy rate stands at 2.25%, will also share its interest rate decision with the public on the same day. In Turkey, foreign trade statistics will be released; the calendar includes expectations of $5.23 billion for the foreign trade deficit, $25.98 billion for exports, and $31.21 billion for imports.

On Thursday, the European Central Bank (ECB) interest rate decision will be announced at 16:15 Turkey time, and the press conference will begin at 16:45. In the Eurozone, where the current deposit rate stands at 2.5%, the messages delivered will shape asset prices. On the US side, preliminary GDP growth for the 3rd quarter, the core personal consumption expenditures price index, and personal income and spending will be released. In Turkey, trading on Borsa Istanbul (BIST) will be suspended due to Republic Day on October 29.

What are the week's critical growth and foreign trade data?

On the final trading day of the week, the Bank of Japan, which keeps its policy rate at 1.25%, will announce its interest rate decision. In Europe, preliminary growth figures for France, Spain, Germany, Italy, and the Eurozone, along with consumer price inflation (CPI) data for Germany and France, will be monitored. While the economic confidence index, tourism revenues, and tourist arrivals are presented to the public in Turkey, the Central Bank of the Republic of Turkey (CBRT) will publish its Monetary Policy Committee (MPC) meeting summary at 14:00.

This content is for information purposes only and does not constitute investment advice.