Preliminary data released earlier in the day showed that Japan’s economy grew by a modest 0.3% in the April-to-June period, disappointing expectations for a 0.6% increase.
On an annualized basis, the country’s gross domestic product rose 1.4% in the second quarter, below forecasts for growth of 2.3% and slowing sharply from an upwardly revised 5.5% in the preceding quarter.
The report came after data on Friday showed that Chinese, the world’s second largest economy, exports grew just 1.0% on the year in July, down sharply from the 11.3% gain seen in June, while imports rose 4.7% year-over-year, down from 6.3% in June.
Despite the weak numbers out of china Friday, the S&P 500 did manage to finish slightly higher on Friday to extend a winning streak to six straight sessions, but with a light volume. The Dow and the S&P 500 closed out their fifth straight week of gains, led once again by expectations for global central bank stimulus.
At the moment, US Stock index futures pointed to a lower open on Wall Street on Monday, with futures for the S&P 500 down 0.33 percent, Dow Jones down 0.22 percent and Nasdaq 100 down 0.24 percent at 08:00.
The economic calendar for the upcoming week has a few major enouncements. Tomorrow, Aug 13th, the UK Inflation data, the German and Euro-zone GDP numbers are expected to go out.
The US inflation data will go out one day after on Aug 15th and the Reuters/Michigan consumer sentiment will close the economic calendar for the week.
Gold futures edged higher during early European trade on Monday, as hopes that central banks around the world would soon announce fresh stimulus measures to help spur weak global growth continued to support the precious metal. Late on Friday, the president of the San Francisco Federal Reserve said the Fed should launch a fresh round of bond buying to lower the U.S. unemployment rate more quickly, fuelling speculation that the central bank could soon unveil a new round of quantitative easing.
Early today, the German wholesale prices rose more than expected during July: 2.0%, and the current account deficit in France has widened to €4.9 billion in June vs. €4.0 billion in the previous reading.
On 09:00GMT, Greece’s annualized GDP will be published and it will complete the market calander for today with is obvious very thin. Consensus expects the economic activity to contract 7.0% vs -5.5% previous.