The Motley Fool

The Week Ahead: Sino-US Trade Talk, Brexit and American Inflation

The Sino-US trade talks are set to resume next week. Both sides already know what the other side wants. China wants America to drop the import tariffs, while America wants China to stop subsidising its state-owned enterprises. Why are they even talking? Unsurprisingly, nobody is holding their breath for a breakthrough.

A bunch of Fed officials will take the rostrum. They include Esther George, who is happy to keep interest rates at current levels, Neel Kashkari, who would like the Fed to lower rates, and Fed chair Jerome Powell, who thinks that the US economy is in a good place.

There are some US inflation numbers to digest. They should show a slight uplift in the headline rate from 1.7% to 1.9%. But core inflation should be unchanged at 2.4%.

China returns from its Golden Week holiday to news that the services sector continues to expand in September and that the balance of trade remained unchanged last month.

The UK Prime Minister reportedly plans to suspend Parliament again. It seems that he could ask the Queen to prorogue parliament from the evening of Tuesday so the government can bring forward a fresh legislative agenda. If at first you don’t succeed…

Meanwhile, the UK will also report its economic growth rate for August. It could show the damage that Brexit has had on the UK economy in which the year-on-year growth rate slipped below 1% to 0.9%.

Malaysia will announce retail sales for August. They are expected to show another month of robust spending, though the growth rate could have slipped from 7.1% the previous month to 6.9%.

And finally, an advanced look at Singapore’s economic growth rate could show that the GDP bounced back from 0.1% in the second quarter to 0.8% between July and September.

The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore Director David Kuo doesn’t own shares in any companies mentioned.