A barrage of economic data from the U.S. are the day's most anticipated events, with markets expecting CPI, industrial production, the Empire Fed's manufacturing index, the NAHB housing market index, the Fed's Beige book and TIC data from the U.S. Treasury as well.
At 8:30 a.m. EDT, the U.S. Bureau of Labor Statistics will release its CPI report for March. Headline CPI is expected to show a 0.1% month-over-month increase in March, compared to the 0.4% gain the month prior. This will translate into a -0.1% annual inflation rate, following February's 0.2% gain. Meanwhile, core CPI is expected to move up by 0.1%, compared to February's 0.2% rise, leaving the annual core inflation rate at +1.7%, just one-tenth of a percentage point lower than the previous month.
Simultaneously, the Federal Reserve Bank of New York will release its manufacturing report for April. The headline index is expected to rise to a reading of -35.0 following March's -38.23 reading.
Also at 8:30 a.m. EDT, Statistics Canada will release new motor vehicle sales for February, which economists expect to decline 2.0% month-over-month following a 5.5% gain in January.
At 9 a.m. EDT, the U.S. Treasury Department will release net long-term and total TIC flows for February. Economists expect net long-term flows to come in at +$14 billion versus -$43.0 billion the month prior. Total TIC flows came in at -$148.9 billion in January.
At 9:15 a.m. EDT, the U.S. Federal Reserve will release industrial production for March, which is expected to fall 0.9% month-over-month after a revised 1.5% contraction in February. Capacity utilization is expected to decline to 69.6% after a revised 70.2% the month prior.
At 10:30 a.m. EDT, the U.S. Energy Information Administration will release oil inventories for the week ending April 10. Economists are expecting a 1750k build in crude oil reserves following the previous 1645k gain. Gasoline inventories are expected to come in lower by 500k following the previous 656k rise. Distillate inventories are expected to fall 1000k after decreasing 3354k in the previous week. Refinery utilization is expected to come in 0.1% higher after gaining 0.11% the week prior.
At 1 p.m. EDT, the National Association of Home builders will release its housing market index for April, which is expected to rise to a reading of 10 from the previous month's level of 9.
At 2 p.m. EDT, the U.S. Federal Reserve will release its Beige Book Economic Report.
While there are no major earnings announcements expected from the United States on Wednesday, markets participants are gearing up for JPMorgan Chase on Thursday followed by Citigroup and General Electric on Friday.
8:30 CA New Motor Vehicle Sales (M/M) February Exp: -2.0% Prior: +5.5%
8:30 US Consumer Price Index (M/M) March Exp: +0.1% Prior: +0.4%
8:30 US CPI Ex Food & Energy (M/M) March Exp: +0.1% Prior: +0.2%
8:30 US Consumer Price Index (Y/Y) March Exp: -0.1% Prior: +0.2%
8:30 US CPI Ex Food & Energy (Y/Y) March Exp: +1.7% Prior: +1.8%
8:30 US CPI Core Index SA March Prior: +217.67
8:30 US Consumer Price Index NSA March Exp: +212.900 Prior: +212.193
8:30 US Empire Manufacturing April Exp: -35 Prior: -38.23
9:00 US Net Long-term TIC Flows February Exp: $14.0B Prior: -$43.0B
9:00 US Total Net TIC Flows February Prior: -$148.9B
9:15 US Industrial Production March Exp: -0.9% Prior: -1.4% Revised: -1.5%
9:15 US Capacity Utilization March Exp: 69.6% Prior: 70.9% Revised: 70.2%
10:30 US DOE U.S. Crude Oil Inventories W/E April 10 Exp: 1750k Prior: +1645K
10:30 US DOE U.S. Gasoline Inventories W/E April 10 Exp: -500k Prior: +656K
10:30 US DOE U.S. Distillate Inventory W/E April 10 Exp: -1000k Prior: -3354K
10:30 US DOE U.S. Refinery Utilization W/E April 10 Exp: 0.10% Prior: +0.11%
13:00 US NAHB Housing Market Index April Exp: +10 Prior: +9
By Erik Kevin Franco
©CEP News Ltd. 2009