There are a couple of interest-rate decisions to look out for next week. The People’s Bank of China will announce its latest loan prime rate. It is likely to sit on its hands again. It has kept interest rates at a record low of 3% for 15 straight months, which is not surprising. That’s because China’s economic growth has been under pressure, and the Chinese housing market continues to be in decline.
Bank Indonesia has an interest-rate decision to make, too. It has been hiking interest rates to shore up the rupiah. Meanwhile, the inflation rate has been within the bank’s target of 1.5% and 3.5%. So, there is no urgency to raise the key interest rate. But the Fed’s latest interest-rate hike could throw a spanner in the works.
Other economic data to keep an eye in include Singapore’s inflation rate and Singapore’s August industrial production numbers. The headline inflation number is expected to be...