Investing.com - In the week ahead, market players will be shifting their attention slightly away from Brexit-related news and more towards economic fundamentals and U.S. monetary policy, with the June nonfarm payrolls report and FOMC meeting minutes in the spotlight. There is also ISM services data on Wednesday.
U.S. financial markets will be closed on Monday for the Independence Day holiday.
Elsewhere, in the U.K., market players will be eyeing the release of the Bank of England’s financial stability report for fresh clarity on the health of the U.K. banking sector in wake of Britain’s shock decision to leave the European Union.
Outside the G7, traders will be awaiting a monetary policy announcement from the Reserve Bank of Australia on Tuesday.
Ahead of the coming week, Investing.com has compiled a list of the five biggest events on the economic calendar that are most likely to affect the markets.
1. June U.S. Employment Data
The U.S. Labor Department will release its June nonfarm payrolls report at 12:30GMT, or 8:30AM ET, on Friday.
The consensus forecast is that the data will show jobs growth of 175,000 last month, following an increase of 38,000 in May, the unemployment rate is forecast to inch up to 4.8% from 4.7%, while average hourly earnings are expected to rise 0.2% after gaining 0.2% a month earlier.
An upbeat employment report will point to an improving economy and support the case for higher interest rates in the coming months, while a weak report would add to uncertainty over the economic outlook and push prospects of tighter monetary policy further off the table.
2. Fed FOMC Meeting Minutes
The Federal Reserve will release minutes of the June policy meeting on Wednesday at 18:00GMT, or 2:00PM ET, as investors search for some clarity on where the U.S. central bank stands on its path toward rate hikes.
The Fed kept interest rates unchanged following its meeting on June 15 and dialed back forecasts for how fast it will raise rates over the next couple of years, citing concerns over the economic outlook.
3. U.S. June ISM Services PMI
The U.S. Institute of Supply Management is to release data on June service sector activity at 14:00GMT, or 10:00AM ET, on Wednesday. The gauge is expected to rise 0.4 points to 53.3. Anything above 50.0 signals expansion.
4. Bank of England Financial Stability Report
The Bank of England’s financial stability report will be released on Tuesday at 9:30GMT, or 5:30AM ET. The publication will take a detailed look at the risks faced by the U.K. banking sector following the referendum vote and the underlying risks to the economy. BoE Governor Mark Carney will hold a press conference shortly after the release of the report.
5. Reserve Bank of Australia Rate Decision
The RBA's latest interest rate decision is due on Tuesday at 4:30GMT, or 12:30AM ET. Most economists expect no policy change, after the central bank left rates on hold at a historic low of 1.75% at its previous meeting and held off from indicating that more monetary easing is on the cards.
Stay up-to-date on all of this week's economic events by visiting: http://www.investing.com/economic-calendar/