This week the US, Canada, and Germany release important economic reports. Google and Tesla are to unveil their technological innovations. Political news from the USA may also affect the markets. There, the impeachment inquiry against President Donald Trump continues. There is still potential for a shutdown: the issue of financing the construction of the “Mexican Wall” is still unresolved.
November 19. US Construction. Google Stadia
At 13:30 GMT, the United States releases its October data on building permits. According to preliminary estimates, the reading will amount to 1.385 million. In case the report upsets investors, the subject of the stock market decline might come up.
The reports for two previous months provided the highest results for the last five years. This indicates the strength of the U.S. construction sector, which has a positive impact on the whole economy.
Google will launch its Stadia game streaming service in the U.S. and other countries. With this subscription service, users will be able to enjoy quality games even without a powerful computer.
November 20. Canada’s Core CPI. Impeachment-related hearings in US Congress
At 13:30 GMT, Canada releases its October data on Core CPI. Any value above zero will be positive for the Canadian economy and will support the CAD.
The value of Canadian Core CPI has rarely been negative lately. This time it will probably come out at the level of either 0.0% or 0.1%.
Some U.S. government officials are to testify before the U.S. Congress at the impeachment hearing of the U.S. president. Public testimony will be given by Gordon Sondland, U.S. ambassador to the European Union, David Hale, Undersecretary of State & Laura Cooper, Deputy Assistant Secretary of Defense for Russian, Ukrainian and Eurasian affairs.
November 21. ECB monetary policy. Tesla’s electro pickup truck
At 12:30 GMT, the ECB releases its monetary policy meeting minutes. Last time, the bank kept the interest rate at the current level. However, the market did not receive any hints of policy easing from Mario Draghi, the leaving head of the bank. Perhaps, the protocol can provide more information on this subject.
Tesla is to unveil its cybertruck electric pickup. The price will start at $50,000. The company has been expected to introduce new products for long. Tesla’s positions are gradually strengthening due to the launch of production in China.
November 22. Germany’s GDP. Will there be another shutdown in the US?
At 07:00 GMT, Germany releases its report on Q3 GDP. The preliminary report stated that the largest EU economy grew by 0.1%. The forecast is considered as very positive against the background of the previously noted signs of recession. However, if the data on GDP is negative, the bad scenario will receive strong confirmation.
The short-term budget of the US terminates. If the Trump administration and congressmen do not reach an agreement on financing the US-Mexico border wall again, the country may face a new budget crisis.
We remind you that at the end of 2018, financial disagreements between the President and Congress led to a 35-day government shutdown. The executive and legislative authorities are still unable to reach a compromise on the country’s long-term budget.