This week, all eyes are on the U.S. Federal Reserve as it navigates a tricky monetary policy decision amidst high inflation and a robust economy. With expectations for interest rate cuts dwindling, investors are closely monitoring the Fed's stance. Friday's U.S. monthly jobs report for April will be pivotal, providing insights into the strength of the job market. In the eurozone, inflation data will be critical in determining whether the European Central Bank will cut interest rates in June. Norway is also set to announce its rate decision. Meanwhile, attention remains on the Japanese yen, which has fallen to 34-year lows against the dollar. Speculation looms about potential interventions by Japanese authorities to support the currency.

Monday is slack on economic front. Tuesday sees a mix of economic releases, including New Zealand's business confidence, Australia's retail sales, and GDP figures from France, Germany, Italy, and Canada. Europe also releases core CPI and CPI numbers, while the US announces its consumer confidence index.

Wednesday features New Zealand's employment change and unemployment rate data, along with a flurry of releases from the US, including the ADP Non-Farm Employment Change, Final Manufacturing PMI, ISM Manufacturing PMI, JOLTS Job Openings, Federal Funds Rate decision, and the FOMC Statement.

Thursday includes the FOMC Press Conference, a speech from BOC Gov Macklem, US Unemployment Claims, and another speech from BOC Gov Macklem later in the day.

Friday brings a plethora of US data, including Average Hourly Earnings, Non-Farm Employment Change, Unemployment Rate, Final Services PMI, and ISM Services PMI.

Amidst these events, markets are bracing for potential shifts in monetary policy and economic indicators that could impact global trading dynamics.

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