By: Vincent Lin
Trade tension between the U.S. and China further escalated last week as the U.S. declared Huawei as a national security threat and cut off its major supply chains, including Intel chips and Android software. Moving forward, trade tension between the two largest economies in the world will continue to weigh on the global economy. The U.S. is set to release the Consumer Confidence Index and Gross Domestic Product results next Wednesday and Thursday. The data will likely shed a light on the U.S. current economic health and whether the trade war had a major negative blowback on America itself. On the other hand, China will release its manufacturing PMI data on Friday the 31th of May. China’s economy has already shown weakness in the first quarter and it is unlikely the PMI data will be positive.
Other upcoming key economic events:
RBNZ Financial Stability Report and Governor News Conference, BOJ’s Kuroda’s speech and South Korea business surveys are set to release on Next Wednesday.
Bank of Canada’s rate decision, Australia building approvals and first quarter private CAPEX, New Zealand building permits and budgets will be released on Next Thursday.
Next Friday: German Consumer Price Index, Japan Consumer Price Index and US Personal Consumption Expenditure Price index.
Sources: Bloomberg, DailyFX