Tuesday, March 24th All Day
Financial markets are in a major turmoil, and central banks cannot afford to let it continue. The fact is that we do not need more from central banks, and it is a cohesive monetary policy response that the world needs.The G7 officials will be putting their discussion points together in order to have a solution to ward off the current sell-off. Failure to have anything solid could make the markets more nervous.How will the G7 affect the S&P500?
Wednesday, March 25th at 19:00 GMT
German IFO Business Climate
Germany is the biggest economy of the Eurozone and investors are betting for this economy to perform better than the rest of Europe. The German ZEW economic sentiment number fell off the cliff last week.
The data massively missed the forecast, actual -49 vs forecast -29.7.Angela Merkle, the German Chancellor, hasn’t provided a clear signal if Germany is going to loosen its pocket and start investing in the economy. If the business climate number disappoints, which is likely the scenario, it will add more pressure on German politicians.Will the German Business climate push the Euro Lower?
Thursday, March 26th at 12:00 GMT
BOE Monetary policy
Not so long ago, the Bank of England has reduced its interest rate by 50 basis points, but it is the action of the Federal reserve bank that puts them under pressure. Traders are wondering if the bank is also going to follow the footsteps of the Fed once again and lower the interest rate by 100 basis points. So far, the markets have not priced that despite that fact that the conditions are dire.
This is unknown territory, and one thing is for certain that the bank needs to send one message that is they are there to support the economy and limit any damages from the influence of Coronavirus.How will the BOE’s decision unfold?