A review of the week past and the week ahead 14th September

What mattered last week:

The S&P500 fell -2.75%, as the correction in tech stocks deepened and spread to other sectors.
The FANG index, a $US120 trillion equal dollar weighted index comprised of high growth tech stocks including Facebook, Apple, Amazon and Google has fallen 15% in September, it largest pullback since March.
New coronavirus cases continued to trend lower in the U.S, and Australia. However cases in India and Europe are rising, particularly in Spain and France.
Brexit risks remerged and in the U.S, the Democrats blocked the latest stimulus package.
The ECB kept policy unchanged at its monthly meeting and did not push back against EURUSD strength.
The Band of Canada kept policy unchanged, as well as its GoC bond purchase commitment of a minimum C$5bn per week.
Volatility, as measured by the VIX index, closed lower at 26.9.
U.S. 10-year yields closed lower, near 0.66%.
Gold rose slightly to U.S $1940.00.
Crude oil fell another 6.14%, closing at U.S $37.33/bbl.
The ASX200 closed down -1.12% at 5859.4.
In FX, the AUDUSD closed unchanged near .7280.

For the week ahead, the key events are:

Australia: RBA meeting minutes, house price index (Tuesday), HIA new home sales (Wednesday), labour force (Thursday).

Labour Force (Thursday): Despite the Victorian lockdowns, weekly payroll data suggest strength in other states will see a rise in jobs of 40,000. Nevertheless, a rise in the participation rate should result in an increase in the unemployment rate, from 7.5% to 7.7%.

New Zealand: Westpac consumer confidence Q3 (Monday), global dairy trade auction (Tuesday), current account (Wednesday), Q2 GDP (Thursday).

China: Unemployment, fixed asset investment, industrial production, retail sales (Tuesday).

Japan: Reuters Tankan index, Liberal Democratic Party leadership vote (Monday), balance of trade (Wednesday), BoJ interest rate decision (Thursday), CPI (Friday).

U.S: Retail sales (Wednesday), FOMC meeting, housing starts, building permits, jobless claims (Thursday), current account (Friday).

FOMC Meeting (Thursday): Following Fed Chair Powell’s speech at the Jackson Hole Symposium, the message is expected to remain one of caution and likely to contain more details on the Feds forward-guidance as well as its willingness to let inflation run above 2%.

Canada: CPI (Wednesday), retail sales (Friday).

Euro Area: EA and German ZEW economic sentiment index (Tuesday), EA balance of trade (Wednesday), EA current account (Friday).

UK: Employment (Tuesday), CPI (Wednesday), BoE interest rate meeting (Thursday), retail sales (Friday).

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