5 Things to Watch on the Economic Calendar This Week

5 Things to Watch on the Economic Calendar This Week

1. Yellen speaks at Jackson Hole

Investors are looking ahead to this week's annual meeting of top central bankers and economists in Jackson Hole, Wyoming, due to take place from Thursday to Saturday.

The highlight will be when Fed Chair Yellen takes the stage on Friday. Speculation is rife that she will use the speech to start the race for a rate hike as soon as September following a recent barrage of hawkish Fed speakers.

The annual Fed symposium has sometimes been used by Fed chairs to make important policy pronouncements.

According to Investing.com's Fed Rate Monitor Tool, investors are pricing in just a 12% chance of a rate hike by September. December odds were at around 46%.

2. Revised U.S. second quarter growth

The U.S. is to release revised figures on second quarter economic growth at 8:30AM ET (12:30GMT) Friday. The data is expected to show that the economy expanded by 1.1% in the April-June period, downwardly revised from a preliminary estimate of 1.2%.

Besides the GDP report, the U.S. is to produce data on new home sales, existing home sales, durable goods orders, weekly jobless claims and revised consumer sentiment numbers.

3. U.K. Q2 GDP - second estimate

The Office for National Statistics is to produce a second estimate on U.K. economic growthfor the April-to-June quarter at 08:30GMT (4:30AM ET) on Friday. The report is forecast to confirm the economy grew 0.6% in the three months ended June 30, unchanged from a preliminary reading.

However, the bigger question is about third quarter, post-Brexit, growth prospects.

4. Flash euro zone PMIs for August

The euro zone is to publish preliminary data on manufacturing and service sector activity for August at 08:00GMT (4:00AM ET) on Tuesday, amid expectations for a modest decline.

Ahead of the euro zone PMI's, France and Germany will release their own PMI reports at 07:00GMT and 07:30GMT respectively.

Meanwhile, a report on August German business sentiment will also be in focus, with the Ifo research institute slated to release its findings at 08:00GMT (4:00AM ET) on Thursday.

5. July Japanese inflation data

Japan's Statistics Bureau will publish July inflation figures at 23:30GMT Thursday (7:30PM ET). Market analysts expect the headline figure to remain negative, falling 0.4% year-on-year, which would be the eighth straight month of declines.

The country has been struggling to hit its 2% consumer price target, maintaining pressure on policymakers to support the world's third largest economy.