Day Ahead: Top 3 Things to Watch

Day Ahead: Top 3 Things to Watch  | Mar 13, 2018 05:03PM ET

What to watch out for in tomorrow's session - Here’s a preview of the top 3 things that could rock markets tomorrow

1. Retail Sales To Rebound, Wholesale Inflation To Cool

Ahead of the Federal Reserve’s decision on interest rates slated for March 21, investors will turn to a duo of reports on the retail sales and wholesale inflation for clues on the underlying the strength of the U.S. economy.

Inflation at the wholesale level as measured by the producer price index is expected to have cooled to 0.2% in February from 0.4% in the prior month. The expected slowdown in wholesale inflation comes despite the latest ISM survey showing manufacturers saw input costs increase at the fastest pace in seven years.

Retail sales growth is forecast to rebound in February after a surprise slump in the previous month.

An above forecast reading could help life sentiment on the U.S. economy, helping the dollar recover some of its losses against a major basket of currencies Tuesday after turmoil in Washington weighed on sentiment.

2. OPEC Monthly Report, U.S. Crude Supply Totals To Confirm Bearish Outlook For Oil Prices?

OPEC is slated to release its monthly report Wednesday at 7.20 a.m. ET, outlining its estimates on global oil demand growth and output.

Non-OPEC output is expected to garner added investor attention after OPEC in its previous report February, revised upward its estimates for non-OPEC output. The US made up more than half of the non-OPEC upward revision.

A fresh batch of inventory data, meanwhile, from the Energy Information Administration (EIA) on Wednesday at 10.30 a.m. ET is expected to show that U.S. crude stockpiles rose for the third straight week.

Analysts forecast crude inventories rose by about 2.023 million barrels in the week ended March 9.

Crude oil futures settled sharply lower on Tuesday at $60.71 a barrel after the U.S. Energy Information Administration released a monthly report, forecasting shale output in April to rise to an all-time high.

3. All Eyes on Washington Turmoil, U.S. Tariffs

U.S. President Donald Trump showed no sign of easing his stance on tariffs amid a Reuters report Tuesday that the president is seeking to impose tariffs on $60 billion of Chinese imports, targeting the technology and telecommunications sectors.

This comes as Politico reported earlier that Trump had rejected proposals for tariffs on $30 billion of Chinese imports.

The threat of additional U.S. tariffs could stoke fears of a global trade war and weigh on investor appetite for risker assets at a time when investors are concerned over turmoil in Washington.

President Donald Trump fired Secretary of State Rex Tillerson on Tuesday amid differing views over the best course of action on the Iran nuclear deal.

The Dow Jones Industrial Average slumped 171 points to close at 25,007.03.

Related News

Latest comments

Add a Comment
Please wait a minute before you try to comment again.
Write a reply...
Please wait a minute before you try to comment again.

Fusion Media will not accept any liability for loss or damage as a result of reliance on the information contained within this website including data, quotes, charts and buy/sell signals. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible. Currency trading on margin involves high risk, and is not suitable for all investors. Trading or investing in cryptocurrencies carries with it potential risks. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Cryptocurrencies are not suitable for all investors. Before deciding to trade foreign exchange or any other financial instrument or cryptocurrencies you should carefully consider your investment objectives, level of experience, and risk appetite.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures), Forex and cryptocurrencies prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn’t bear any responsibility for any trading losses you might incur as a result of using this data.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.

English (UK) English (India) English (Canada) English (Australia) English (South Africa) Deutsch Español (España) Español (México) Français Italiano Nederlands Português (Portugal) Polski Português (Brasil) Русский Türkçe ‏العربية‏ Ελληνικά Svenska Suomi עברית 日本語 한국어 中文 香港 Bahasa Indonesia Bahasa Melayu ไทย Tiếng Việt
Sign out
Are you sure you want to sign out?
Saving Changes