Business Lookahead: Growth, shops and rates

STORY: From GDP figures in China, to retail sales data in the U.S., these are the stories to watch in business and finance in the coming week.

:: Look Ahead

:: On target?

China’s third-quarter growth figures due on October 18 headline a busy week scattered with data releases.

Policymakers say they are “fully confident” of achieving their full-year growth target of around 5%.

China will also release figures on trade, house prices and retail sales, giving policymakers a clue on how much they have cut out for them before year-end.

:: Cutting track

The European Central Bank is set to deliver another quarter-point rate cut on Thursday.

The unexpected contracting of September euro zone business activity stoked worries the ECB may be cutting too slowly.

Inflation has slowed sharply, dropping below the ECB’s 2% target in September, shifting the focus of policymakers to growth risks.

Economists reckon Thursday’s move could kick off back-to-back cuts.

:: Shoppers and bankers

U.S. retail sales data is due on Thursday.

Stronger-than-expected recent labor market data recalibrated rate-cut bets, lifting Treasury yields and bolstering the U.S. dollar.

A robust retail sales number could further amplify that trend.

Big banks like Goldman Sachs and Bank of America report earnings on Tuesday.

:: Looming budget

Britain’s September inflation data is due on Wednesday.

The results could make Britain’s lenders in international bond markets – already nervous ahead of the Labour government’s first budget – feel even worse.

Ten-year gilt yields are around their highest since early July.

And while the annual rate of UK consumer price increases held steady around 2%, they accelerated to 5.6% in the dominant services sector.

And recent data showed rising grocery inflation and retail spending.