Key economic events this week: British GDP, inflation data for US, UK, Eurozone and more

(Representative Image)

Take a look at the important economic, policy and business events of the week from across the world, beginning September 12, 2022:

Schedule of the major market-moving events:

UK's July GDP data to be out on September 12

UK's Gross domestic product (GDP) July estimates that measure the country's economic growth will be released on Monday (September 12).

In June 2022, its gross domestic product (GDP) fell by 0.6 percent, consumer-facing services output was 4.9 percent down, Services fell by 0.5 percent, Production fell by 0.9 percent, on the back of growing weakness among consumer-facing sectors of the economy as Britons deal with inflation reaching a 40-year high in the wake of the war in Ukraine. UK gross domestic product dropped 0.1 percent in the April-June period after a rise of 0.8 percent in the first quarter.

US inflation data (August) on September 13

US will announce on Tuesday (September 13) its consumer price index (CPI) for August, which measures the change in the prices of goods and services. The inflation report could determine the size of the Federal Reserve's rate hike at this month's policy meeting (Sep 20-21). Investors are jittery about the prospects of another outsized interest rate hike from the Fed.

US inflation has reached a 40-year high this year, and though the economy saw two quarters of negative growth -- which is commonly viewed as a sign of recession -- low unemployment and strong spending show activity has not slowed significantly.

The US consumer price index (CPI) increased 8.5 percent in the year to July, easing from a four-decade high of 9.1 percent in June. US inflation eased as consumer prices rose 6.3 percent in July.

Twitter shareholders to vote on September 13 on sale to Elon Musk

Tesla CEO Elon Musk continues to battle a lawsuit that could force him to complete a $44-billion purchase of the social media company Twitter.
Twitter shareholders are scheduled to vote on the Musk deal on September 13. Musk is currently reluctant to proceed with the deal, however, and the matter will be reviewed in a Delaware court in October.

The notice of subpoena is the latest development in the high-profile legal battle between Twitter and Musk. Musk alleges that the number of spam and fake accounts on Twitter is larger than what the company has reported publicly and that could hinder the platform's ability to attract ad sales.

UK's July Inflation data on September 14

Consumer price inflation (CPI) rate rose to 10.1 percent in July from 9.4 percent in June. This was the highest since February 1982, as surging food costs intensified a squeeze on household budgets. A 12.6 percent rise in annual food prices - the biggest since 2008 - was the main cause of the jump in CPI inflation.

Bank of England's interest rate meet on September 15 postponed

The Bank of England on September 9 announced that it had decided to postpone a meeting on interest rates due next Thursday by one week to September 22, as the nation is mourning after the death of Queen Elizabeth II.

The bank had last month raised its key interest rate by 0.5 percentage points to 1.75 percent, the biggest hike since 1995 as it sought to combat runaway UK inflation that stands at a 40-year high above 10 percent and is predicted to soar further.

US Retail sales (July) on September 15

The US will release retail sales for August on Thursday (September 15). US retail sales shot up in June amid surge in prices. After total retail sales dipped 0.1 percent in May, they recovered with a vengeance last month, climbing one percent to $680.6 billion.

Bank of Russia key rate meeting on September 16

The policy-setting meeting of Russia's central bank will be held on Friday, September 16. The Russian central bank last month said it will closely watch changes in inflationary expectations, which will play an important role in discussions at the bank's board meeting. Recently in this month, Russia's VTB Bank CEO Andrei Kostin said there was room for the central bank to cut its key rate to 7.5 percent and then 7 percent from 8 percent now, steps that would stimulate lending in Russia's banking sector.

In its last rate-setting meeting on July 22, the Bank of Russia Board of Directors decided to cut the key rate by 150 basis points to 8 percent per annum.

Eurozone August CPI data on September 16

The next release of the full Euro area data of CPI for August 2022 is scheduled for September 16. According to a flash estimate from Eurostat, the statistical office of the European Union, Euro area annual inflation is expected to be 9.1 percent in August 2022, up from 8.9 percent in July.

Inflation in the European countries using the euro currency shot up to a record 8.9 percent in July, from 8.6 percent in June, pushed by higher energy prices driven partly by Russia’s war in Ukraine. Energy prices surged by 39.7 percent, while food prices rose by 9.8 percent\ and other goods by 4.5 percent.

Annual inflation in the eurozone's 19 countries rose to 8.9 percent in July, an increase from 8.6 percent in June

The euro area consists of Belgium, Germany, Estonia, Ireland, Greece, Spain, France, Italy, Cyprus, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Austria, Portugal, Slovenia, Slovakia and Finland.

China's industrial production data on September 16

China’s monthly data on industrial production, a useful measure of the health of China’s economy, will be announced on Friday (September 16).
In July, China's industrial output growth slowed to 3.8 percent on-year from 3.9 percent in June due to COVID curbs.

(With inputs from Agencies)