Friday preview: US price data, Xi speech in focus

All eyes at the end of the week would be on the US and the release of readings for two key inflation gauges.

At 1330 GMT, the Department of Commerce would release personal income and spending figures for January, both of which were expected to have jumped by 1.0% month-on-month.

Just as important would be the core price deflator for personal consumption expenditures, which was contained in the same report and was the Federal Reserve's preferred price index.

Consensus was for an increase of 0.4% over the month with the year-on-year rate of increase seen ticking lower by one tenth of a percentage point to 4.3%.

At 1500 GMT, those figures would be followed by final readings for the University of Michigan's consumer confidence survey for February.

Investors would also be keeping an eye out for a speech by China's President, Xi Jinping, who was expected to deliver a speech regarding a political settlement of the war in Ukraine.

But the market spotlight was likely to be on the subindices for inflation expectations which were a part of the same survey.

On the continent, investors' focus was likely to be trained on European Central Bank boss, Christine Lagarde, as she delivered a speech at the G20 finance ministers and central bank governors' meeting in Bengaluru, India.

Also due out were consumer confidence surveys in France and Germany, before the start of the trading session, covering the months of March and February, respectively.

It would be a similar story in the UK with consultancy GfK being set to publish its consumer confidence survey for February just past the stroke of midnight.

In Japan, the National Bureau of Statistics would publish national consumer price figures for the month of January excluding perishables (consensus: 4.2%).

Commenting on the outlook for IAG's full-year results, Michael Hewson, chief market analyst at CMC Markets UK highlighted investors' optimism that consumers would splash out on holiday getaways in the first year without widespread Covid disruptions.

For the fourth quarter, capacity was expected to have recovered to 87% of 2019's level with a further improvement to 95% anticipated for the first quarter of 2023.

But Hewson believed those forecasts to be "a little" on the optimistic side given the outlook for the economy and how thus far only Ryanair had managed to pull off that feat.

Friday 24 February

INTERIMS

CVS Group

INTERIM DIVIDEND PAYMENT DATE

Atrato Onsite Energy, Marwyn Value Investors Limited, North Atlantic Smaller Companies Inv Trust, Totally

INTERIM EX-DIVIDEND DATE

Alumasc Group

QUARTERLY PAYMENT DATE

Greencoat Renewables (CDI), Octopus Renewables Infrastructure Trust

INTERNATIONAL ECONOMIC ANNOUNCEMENTS

GFK Consumer Confidence (GER) (07:00)

Gross Domestic Product (GER) (07:00)

New Homes Sales (US) (15:00)

Personal Consumption Expenditures (US) (13:30)

Personal Income (US) (13:30)

Personal Spending (US) (13:30)

U. of Michigan Confidence (Final) (US) (15:00)

FINALS

International Consolidated Airlines Group SA (CDI), Jupiter Fund Management

SPECIAL DIVIDEND PAYMENT DATE

Hollywood Bowl Group, Life Settlement Assets

AGMS

Caledonian Trust, Ediston Property Investment Company

UK ECONOMIC ANNOUNCEMENTS

GFK Consumer Confidence (00:01)

FINAL DIVIDEND PAYMENT DATE

Gooch & Housego, Hollywood Bowl Group, RWS Holdings, Zytronic