Daily Economic Outlook: 7th September 2015

It is likely to be a quiet start to the week with the US markets closed for the Labor Day holiday and no major data releases elsewhere.  With concerns about China continuing to hang over global markets, the run up to the US FOMC meeting on September 16-17th will see intense speculation on the outlook for interest rates. Friday's mixed labour market report failed to settle the matter and with the FOMC now going into 'purdah' no further official comment will come from the Fed prior to the meeting. Meanwhile, several other central banks, including the UK, will hold policy meetings this week, notes Lloyds bank.

Early Tuesday morning will see the release of Chinese merchandise trade data for August, the first of a number of updates on the Chinese economy this week. The trade surplus has fallen sharply over the past couple of months.  A rebound is expected in August but just as important to markets will be the composition of trade. The last couple of months have seen stronger growth in both exports and imports. Chinese trade data can be very volatile but if those trends have continued into August they would be a reassuring signs that concerns about the Chinese economy are overblown, says Lloyds bank.