In the week ahead, market players will be focusing on the outcome of Thursday’s European Central Bank meeting to see if policymakers will step up monetary stimulus to counteract the negative economic shock from the Brexit vote.
Investors will also be looking to Friday’s survey data on euro zone business activity, as well as a report on German business confidence, for fresh indications on the health of the region’s economy in wake of Britain's vote to exit the European Union.
Meanwhile, the U.K. will stay in the spotlight as key economic indicators for the British economy are released.
In the U.S., investors will eye a pair of reports on the housing sector to gauge if the world's largest economy is strong enough to withstand further rate hikes in 2016.
Ahead of the coming week, a list of significant events likely to affect the markets will be as follows.
Monday, July 18
Markets in Japan will be closed for a national holiday.
Tuesday, July 19
The Reserve Bank of Australia is to publish the minutes of its latest monetary policy meeting, giving investors insight into how officials view the economy and their policy options.
The U.K. is to publish data on consumer price inflation.
In the euro zone, the ZEW Institute is to report on German economic sentiment.
The U.S. is to release reports on building permits and housing starts.
Wednesday, July 20
The U.K. is to publish the monthly employment report.
Thursday, July 21
The U.K. is to produce figures on retail sales and public sector borrowing.
The ECB is to announce its monetary policy decision. The rate announcement will be followed by a post-policy meeting press conference with President Mario Draghi.
The U.S. is to release data on jobless claims, existing home sales and manufacturing activity in the Philadelphia region.
Friday, July 22
The euro zone is to release data on private sector business activity.
The U.K. is to release survey data on activity in the manufacturing sector.
Canada is to round up the week with data on retail sales and consumer inflation.
