Macro Calendar: higher volatility ahead FOMC Minutes

• European stock exchanges are opening lower than yesterday
• Focus is on data from New Zealand and the UK
• FOMC Minutes and speeches by central bankers ahead

After yesterday's impasse on the US debt ceiling, markets in Asia-Pacific were trading with mixed sentiments. The macroeconomic calendar for today is quite packed, which is likely to prolong heightened volatility in the markets.

In the early part of today, investors have already received the decision from the Reserve Bank of New Zealand. The Official Cash Rate (OCR) was raised by 25 basis points to 5.50%. Despite the rate hike, the New Zealand dollar weakened significantly after comments from central bank Governor Adrian Orr, who signaled the end of the rate hike cycle and the maintenance of rates at the current level. The new macroeconomic data from New Zealand is satisfactory and the current level of tightening is deemed sufficient.

Today at 8:00 AM BST, we also got to know the CPI and PPI inflation data from the UK, which turned out to be significantly higher than analysts' consensus expectations.

Later in the day, investors will pay close attention to the Fed's Minutes, which will be released at 7:00 PM BST, as well as speeches by central bankers, looking for hints regarding future monetary policy plans.

Macro data:

8:00 AM BST, UK, April Inflation Data

• CPI Inflation (YoY). Current: 8.7% YoY. Expected: 8.2% YoY. Previous: 10.1% YoY
• Core CPI Inflation (YoY). Current: 6.8% YoY. Expected: 6.2% YoY. Previous: 6.2% YoY

9:00 AM BST, Germany, IFO Business Climate for May.

• Expected: 93. Previous: 93.6

11:00 AM BST, UK, CBI Factory Orders for May.

• Expected: 19. Previous: 20

7:00 PM BST, US, FOMC Minutes.

Bankers' Speeches

• 10:30 AM BST - UK, BoE Chairman Bailey.
• 3:00 PM BST - UK, BoE Chairman Bailey speaks again.
• 6:10 PM BST - US, FOMC member Waller.
• 7:45 PM BST - EU, ECB Chairman Lagarde.