Economic news ahead: U.S. Non-farm payroll report, UK BOE rate decision
It will be a big week for investors tracking the U.S. economy, with July jobs numbers on Friday that could add to worries about slow economic growth or point toward improvement over the summer. Meanwhile, in the U.K., the Bank of England may cut interest rates to a historic low.
MONDAY: China’s slowing growth will be in focus as the second-biggest economy releases official and Caixin purchasing managers index figures. Investors are worried about further signs of deceleration amid a weak export sector, rising debt and widespread industrial overcapacity. For June, the Caixin manufacturing PMI, a private gauge of factory activity across the country, fell to 48.6, indicating a contraction.
TUESDAY: Brazil releases industrial production figures for June, a day after releasing July trade figures. Industrial production has either risen or been unchanged from the previous month since March, a sign that Brazil’s long downturn may finally be bottoming out.
WEDNESDAY: The U.S. service sector will have its temperature taken by the Institute for Supply Management. The institute’s nonmanufacturing survey for July follows Monday’s release of its factory-focused index. Services are more insulated from global tumult than manufacturing and have been performing significantly better, with a reading in June of 56.5, indicating an expansion.
