This week, the markets will be looking at a number of important events and economic data. The most important of which will be the first meeting of Federal Reserve Chairman Jerome Powell. The markets will also be monitored the G20 meetings in Argentina. Markets will also monitor developments in Brexit negotiations before the EU summit this weekend.
Here's the highlights of this week:
Monday - Brexit press conference
The pound rose strongly today and ahead of the EU summit on March 22-23, after the recent conference in the UK showed an improvement during negotiations with the EU.
Also, Monday will be the first day of the G20 meetings in Buenos Aires, where finance ministers and central bankers will meet. The main headline of these meetings will be multilateral trade, following recent developments in US trade policy.
Tuesday - British inflation data
Earlier in the day, the minutes of the Reserve Bank of Australia meeting will be announced, which will provide further details on the Bank's recent decision to keep interest rates unchanged at 1.50%.
In the UK, inflation data will be released, and the consumer price index is expected to slow in February to 2.8%, after stabilizing at 3% in January.
Wednesday - US Interest Rate Decision
The Federal Reserve is expected to raise interest rates to 1.75%. Markets will monitor the interest rate for any signals on the course of monetary policy this year. The Federal Reserve's expectations at the end of last year were three times hikes, but the markets are currently looking for four times. Markets will closely monitor the new Fed's expectations ahead of the press conference.
This will be followed by the Reserve Bank of New Zealand interest rate decision and it is expected that there will be no change in monetary policy or interest rates, but it will be the last meeting of the interim bank governor, Grant Spencer, before Adrian Orr assumes the bank's chairmanship.
Thursday - the British interest rate decision
The labor market data will be released in Australia. The economy is expected to continue adding jobs for the 12th month in a row by 20.3K jobs in February after adding 16K jobs in January. Unemployment is also expected to stabilize at 5.5%.
The Bank of England will announce its interest rate decision and it is expected that there will be no change in the bank's policy and may consider raising interest rates next May after seeing inflation figures released on Tuesday. There will be a press conference for Mark Carney, Governor of the Bank of England.
Friday - Canadian inflation data
The Bank of Canada wants inflation to rise to a targeted range. After rising by 0.7% in January, it is expected to slow to 0.4% in February, while the core consumer price index is expected to slow down to 1.6%.
