According to analysts at National Bank Financial, in the US, the week will provide important information about the housing market in February with the release of housing starts and new homes sales.
“We expect both indicators to advance on account of lower mortgage rates and rising mortgage applications. In other news, the most recent report on personal income (February) and personal spending (January) should show decent gains based on previously-released data on earnings and retail sales.”
“The annual core PCE deflator, meanwhile, may come in unchanged at 1.9% in January, i.e. just one tick below the Fed’s target. Moreover, Q4 GDP growth could be revised down two ticks, reflecting weaker-than-anticipated personal consumption.”
“Finally, we’ll keep an eye on the release of the Conference Board Consumer Confidence Index for March and the trade balance for January.”