RBA Decision Looms Large as Global Markets Prepare for Data Deluge
The global financial markets are set to be influenced by several key economic data events and bond issuances on Tuesday. The Reserve Bank of Australia (RBA) will release its interest rate decision, with market expectations pointing towards no change in the cash rate at 4.35%. The wording of the policy statement and the assessment of the inflation outlook will be closely watched.
The British Retail Consortium's July retail sales report is also expected to be released on Tuesday, showing a year-over-year growth of around 1.7%. Italy will publish its June trade balance data, including both EU and global figures.
On the bond supply side, Germany will issue around 6 billion euros in 10-year government bonds, while Finland will tap about 1.5 billion euros in long-term bonds during the morning European session.