Global Economy Week Ahead: Job Churn, Brazil Unrest, U.S. Shoppers

Brazilian President Dilma Rousseff delivers a speech in Brasília on Friday. ENLARGE
Brazilian President Dilma Rousseff delivers a speech in Brasília on Friday. Photo: European Pressphoto Agency

Data this week from the U.S. and China could bolster—or undermine—the case for a pickup in global growth. Meanwhile, investors will get a read on how major political events in the U.K. and Brazil could shake markets.

TUESDAY: The March U.S. Job Openings and Labor Turnover Survey, or Jolts, could offer reassurances the American labor market is improving after Friday’s April employment report showed a slowdown in hiring. The Jolts data from February showed 5.4 million Americans were hired to start a new job, the highest figure since before the recession. But job openings have been outpacing hires in recent months, a sign employers may be having trouble filling positions.

WEDNESDAY: Brazil’s Senate begins a voting session on whether to launch an impeachment trial against President Dilma Rousseff. Voting to do so would oust the embattled politician during the trial, putting Vice President Michel Temer in charge. If she is convicted, Mr. Temer would finish out her term through the end of 2018. Given a severe, two-year recession, investors are looking for how Mr. Temer’s policies might change the country’s economic fate. Some are eager to see quick action toward fiscal discipline and hope Mr. Temer would move to make the central bank independent from the administration.

THURSDAY: The Bank of England will publish its latest set of economic forecasts for the U.K. BOE Gov. Mark Carney’s accompanying news conference should offer insight on the potential cost of a U.K. exit from the European Union and how the central bank might respond if voters choose that future in a June referendum.

FRIDAY: Data on U.S. retails sales in April will provide fresh details on the world’s consumer of first and last resort. Sales slid 0.3% in March, but markets are watching for a spring rebound in consumer spending.

SATURDAY: China will release industrial production, fixed-asset investment, retail and property data. The reports will be watched closely for signs that a stimulus-led upturn in the world’s second-largest economy may be ebbing faster than expected, reviving concerns of a hard landing in China. US Business

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