Global markets await key inflation data and central bank updates

A significant week of economic data and central bank activity is expected across major global markets. In Australia, the Reserve Bank of Australia (RBA) is scheduled to release minutes from its September meeting, where the board unanimously raised the cash rate by 25 basis points to 4.60%. While the RBA maintained a hawkish stance due to elevated inflation and rising energy prices linked to Middle East conflicts, Governor Michele Bullock provided a more dovish tone, suggesting further hikes might not be necessary if inflation declines.

In the United States, the economic calendar is highlighted by the release of September Consumer Price Index (CPI) data, which will be closely watched for signs of accelerating price pressures. Additionally, the US enters the third quarter earnings season, with analysts forecasting S&P 500 earnings growth of approximately 29.5% year-over-year. Other key US data points include retail sales, producer prices, and jobless claims.

European and Canadian markets will also see central bank involvement. ECB President Christine Lagarde is scheduled to speak, with markets looking for guidance on inflation and growth. Meanwhile, Bank of England Governor Andrew Bailey and Bank of Canada Governor Tiff Macklem are also set to provide commentary.