The major event taking place this week is the US Federal Reserve’s decision regarding whether to implement an interest rate rise. A number of recent pronouncement by Fed Chair Janet Yellen, as well as different signs of a strengthening economy, have raised expectations that the Fed will hike interest rates for the first time in almost a decade. However, the Fed has proved reluctant to raise rates until now, so there’s certainly still a fair possibility that the central bank will choose to err on the side of caution and wait until 2016.

Japan may well take its cue from the US decision – the Bank of Japan is due to come to its own decision on Interest Rates two days after the US. Depending on the decision of the US Fed, the BoJ may be tempted to take steps to protect the Japanese economy from the economic fallout engendered by the US.

Monday December 14th

04:30 – Japan Industrial Production (October)

Tuesday December 15th

09:30 – UK CPI (November)

13:30 – US CPI (November)

Wednesday December 16th

08:00 – Non-Monetary ECB Meeting

10:00 – Euro zone CPI (November)

19:00 – US Federal Reserve Interest Rate Decision, followed by Monetary Policy Statement & Press Conference

Thursday December 17th

09:30 – UK Retail Sales (November)

Friday December 18th

03:00 – Bank of Japan Interest Rate Decision