EU-UK Summit aims to improve relations with Brexit reset talks, but issues like fishing remain

From Investing.com: 2025-05-16 08:44:00

EU-UK SUMMIT (MON): Representatives meet in London for Brexit reset talks, with focus on defense/security, fishing, and youth mobility. EU sends top officials while UK represented by PM Starmer. Talks aim to improve relations but issues like fishing remain sticking points.

CHINESE ACTIVITY DATA (MON): China set to release April data on Industrial Production, Retail Sales, and House Prices. Prior readings show moderate growth but analysts expect tariff-related disruptions in new data. Recent trade tensions eased slightly, but challenges in consumption and property persist.

PBOC LPR (TUE): China expected to cut Loan Prime Rates by 10bps in line with previous policy easing measures. PBoC Governor announced various cuts earlier to boost liquidity and encourage lending, aiming to support the economy.

RBA ANNOUNCEMENT (TUE): RBA likely to cut rates by 25bps, with markets pricing in high probability. Recent data showing economic weakness supports case for rate reduction, while RBA remains cautious about inflation and global risks.

CANADA CPI (TUE): Canada’s CPI data for April expected to show easing inflation rates, with potential for further rate cuts by the BoC to support the economy. Previous data highlighted uncertainties and diverging views within the central bank.

UK CPI (WED): UK’s CPI for April expected to show increased inflation, driven by utility price hikes and tax increases. BoE forecasts inflation to rise further before returning to target, with potential risks to the upside.

ECB MINUTES (THU): ECB’s recent meeting saw a 25bps cut, removing restrictiveness language. Minutes expected to reveal discussions on further cuts and policy responses to increased uncertainty. ECB likely to cut rates in June amid weak economic data.

EZ FLASH PMI (THU): Eurozone to release Flash PMIs for May, with mild improvements expected. Recent survey indicators suggest moderation in pessimism, but trade uncertainties remain. ECB likely to cut rates further if PMI data weakens.

UK FLASH PMI (THU): UK’s May PMIs expected to show slight improvement from April, but concerns about domestic and external demand persist. Potential for BoE rate cut if data indicates stalling recovery.

JAPANESE CPI (FRI): Japan’s CPI data for April expected to show increased inflation, driven by price hikes in energy and food. BoJ monitoring inflation pressures amid global risks.

UK RETAIL SALES (FRI): UK’s retail sales data for April expected to show moderate growth, supported by good weather and wage increases. Consumer spending reports indicate robust sales but slower growth due to utility increases and inflation concerns.



Read more at Investing.com: Week Ahead: UK-EU Summit, China Activity Data, RBA, Global PMI Data