MNI Global Week Ahead August 3 - 7

Key Things to Watch For:

• Thursday, August 6 – Bank of England Policy Decision
  
  
• The Bank of England meets Tuesday and Wednesday, with its August monetary policy decision due at 0700BST Thursday. Having boosted its QE program by an additional GBP100 billion in June, there are no expectations for further policy moves in August, although the BOE will likely burnish its dovish outlook, keeping negative rates on the table -- albeit at arm's length.
• The Bank is also due to publish its updated outlook for the quarterly Monetary Policy Report. Although not yet set in stone, there is a likelihood the Bank will push ahead with a three-scenario approach, setting it aside from other central banks that have returned towards a more orthodox outlook path.

• Thursday, August 6 – U.S. Weekly Jobless Claims
  
  
• U.S. initial jobless claims should reach 1.45 million Thursday after rising to 1.43 million in the week ending July 25, signaling renewed labor market weakness as new Covid-19 cases surge in some parts of the country.
• Analysts say rising applications could be a sign that the rate of hiring may be starting to slow after two months of growth.

• Friday, August 7 – U.S. Nonfarm Payrolls
  
  
• U.S. employment should show signs of continued improvement through July, with markets expecting nonfarm payrolls to climb by 1.51 million following June's stronger-than-expected 5 million.
• The unemployment rate is expected to fall to 10.5% from 11.1% in June, and average hourly earnings should decline by 0.5% in July following a 1.2% decline a month earlier.