Important upcoming events and publications

Important upcoming events and publications for March 20 (GMT):

07:00 German Producer Price Index is expected to grow in annual terms after several months of slowdown. The high rate of producer prices growth is regarded as an early sign of inflation and may lead to more hawkish ECB tone on monetary policy.

09:30 UK inflation data attract market attention and can cause a surge of volatility for GBP pairs in case of deviation from expectations. On average, analysts expect that CPI will maintain the growth rate at 1.8%. But It is also worth paying attention to the data on the Input PPI, where is expected acceleration from 2.9% y/y to 4.1% y/y. Strong data increases the chances of tightening the Bank of England’s policy this year.

18:00 FOMC Monetary policy decision almost certainly won’t bring any changes, but investors would also pay attention to changing the tone of the accompanying commentary and economic projections. In addition, bursts of volatility are possible during a press conference, which will begin half an hour after the release.

See the detailed Economic calendar here