Below are the most important global events likely to affect FX and bond markets in the week starting March 24.

U.S. economic data will be watched for signs of whether President Trump's policies, including tariffs, are hurting sentiment among consumers and businesses. PCE inflation data could be important for the interest-rate outlook.

In Europe, focus will center on the U.K.'s budget and on evidence of how eurozone sentiment is holding up following Germany's recent proposals for substantial stimulus and the announcement of planned U.S. tariffs.

In Asia, highlights include inflation data out of Japan and minutes from its central bank, Australia's budget presentation, and an announcement from the People's Bank of China on a key policy rate.

U.S.

U.S. economic data in the coming week will be watched for insight on how the U.S. economy has been faring in light of Trump's recent unpredictable announcements on tariffs and volatility on U.S. equity markets.

Some U.S. economic indicators have shown a marked deterioration recently, although this picture hasn't been consistent, with some data continuing to suggest the economy is holding up well.

The Fed left interest rates on hold at its latest meeting and continued to suggest it was in no rush to reduce rates further for now, particularly given risks to inflation. Evidence that the economy is deteriorating further could increase prospects of a rate cut, however.

"While the jobs market has stabilized and inflation appears to be slowly trending towards its target, the Fed will need several months of consistent data to convince them to cut their policy rate again," IFM Investors' investment director Ryan Weldon said.

Flash purchasing managers' indexes on Monday will give an indication of activity in the manufacturing and services sectors. This will be followed by the Conference Board's consumer confidence indicator for March on Tuesday, durable-goods data for February on Wednesday and jobless claims on Thursday.

The other key factor determining when the Fed will next cut interest rates is inflation, particularly given the potential inflationary impact of Trump's policies. Friday's data on February PCE inflation--the Fed's preferred measure of inflation--will be closely monitored.

"The macro data seems biased to be weak in the coming weeks too, but the PCE inflation data will likely show some stubbornness, remaining a tad elevated," ING analysts said in a note.

Other data scheduled include the January Case-Shiller home price index and February new home sales on Tuesday.

The Treasury will auction $69 billion in two-year notes on Tuesday; $70 billion in five-year notes on Wednesday; and $44 billion in seven-year notes on Thursday. It will also offer $28 billion in two-year floating rate notes on Wednesday.

CANADA

Canadian gross domestic product data for January are due Friday and will give a key indication of how the economy has been faring in the run-up to Trump's announcement of plans for hefty tariffs on Canadian imports.

However, most analysts expect that the beneficial impact of seven straight interest-rate cuts on the economy could mean the Bank of Canada pauses rate cuts next month.

Comments by the central bank's Governor Tiff Macklem recently added to these expectations when he stressed the need to curb inflation.

MEXICO

Mexico's central bank will announce a rate decision on Thursday. It is widely expected to cut interest rates by another 50 basis points to 9.0% to counteract weakness in the economy and as inflation remains relatively contained.

EUROZONE

A usual end-of-month flurry of eurozone data awaits in the coming week.

This begins with flash estimate purchasing manager indexes for March from France, Germany and the eurozone on Monday. Germany's March Ifo business sentiment index on Tuesday will receive elevated attention, likely reflecting bigger optimism after the country's planned large-scale fiscal expansion in the coming years.

"Germany's Ifo survey for March will be an important bellwether as to how sentiment is shifting given the approval of a historic change in Germany's fiscal rules by allowing a loosening of the 'debt brake' to enable a material uplift in defense spending and investment," Investec analyst Ryan Djajasaputra said in a note.

On Wednesday, France will release its consumer confidence survey, and Spain its final GDP data for the fourth quarter of 2024.

France and Spain will kick off monthly flash estimate inflation releases for March on Friday. On the same day, Germany's GfK consumer sentiment index and eurozone business and consumer surveys are also due.

Germany will auction 4.5 billion euros in April 2030 Bobl on Tuesday and 2 billion euros in May 2042 and August 2046 Bunds on Wednesday. The Netherlands will hold a bond auction on Tuesday, while Italy will conduct auctions on Wednesday and Friday.

Germany will publish its second-quarter borrowing review on Monday, while Italy will publish quarterly funding plans on Tuesday.

U.K.

U.K. Treasury chief Rachel Reeves will announce her spring budget statement on Wednesday.

She is expected to announce reductions in public spending in a bid to shore up public finances, which have been dented further partly due to higher government-bond yields.

"Any fiscal policy decisions could themselves have implications for the economic outlook and hence represent a consideration for the Bank of England when it next meets in May," Investec's Ryan Djajasaputra said in a note.

The central bank left interest rates unchanged at its most recent meeting and flagged that future rate cuts were likely to be gradual as it grapples with a weak economy but still-high inflation and wage growth.

Key to whether the BOE could opt for another rate cut in May will be Wednesday's consumer-price and producer-price inflation for February.

Monday's provisional purchasing managers' surveys for manufacturing and service sector activity in March will also provide up-to-date evidence of how the economy is faring in the face of geopolitical uncertainty and prospects of reductions in fiscal spending. Firms also face upcoming increases to employers' national insurance contributions, which were announced in the October budget.

Revised fourth-quarter gross domestic product data will be released Friday.

The U.K's Debt Management Office plans to sell gilts maturing in October 2043 Tuesday and in October 2031 on Thursday. A revised gilt remit for the coming financial year will be released alongside Wednesday's budget.

SCANDINAVIA

Norges Bank is expected to start cutting interest rates at its meeting on Thursday from their 16-year high of 4.5%, as it has flagged previously.

However, a rate reduction isn't a done deal.

Citi economist Giada Giani said market pricing has started doubting whether Norges Bank will go ahead with a rate cut after recent data.

"We remain convinced that this [recent data] is not enough to derail the plan. However, the first rate cut could be accompanied by another upward revision to rate expectations," Giani said in a note.

Economic data out of Sweden include foreign trade figures Tuesday, consumer confidence Wednesday and retail sales Friday.

Sweden will hold a bond auction on Wednesday, while Norway will publish its quarterly borrowing plans on Friday.

HUNGARY

Hungary's central bank will announce a decision, where it is widely expected to leave interest rates on hold at 6.50% due to high inflation.

CZECH REPUBLIC

The Czech National Bank will announce a rate decision on Wednesday and is widely expected to keep rates on hold.

The market sees a minimal chance of another rate cut at the March 26 meeting after recent comments from CNB members, ING analysts said in a note. The market is confident of a cut in May but this could be the last as the Czech economic rebound gains traction, they said.

JAPAN

Economists and investors will seek hints for the timing of the Bank of Japan's next interest-rate hike in the summary of opinions from the central bank's March 18-19 meeting, scheduled to be released on Friday. The BOJ kept its policy rate at 0.5% amid high uncertainty over the impact of U.S. tariffs. The central bank is also slated to release the minutes for its January meeting on Tuesday.

Another indicator for the trajectory of the BOJ's monetary policy is inflation data for the Tokyo metropolitan area due Friday. Tokyo's consumer prices excluding fresh food are expected to have increased 2.2% in March from a year earlier, matching the pace marked in February, according to a poll of economists by data provider Quick.

Also on Wednesday, the Bank of Japan's policy board will welcome a new member. University professor Junko Koeda will replace dovish board member Seiji Adachi, whose term expires on Tuesday. BOJ watchers expect Koeda, an expert in macroeconomics and finance, to help the central bank unwind its monetary easing smoothly, while minimizing the risk of market disruptions.

The Ministry of Finance is scheduled to auction 700 billion yen of 40-year JGBs on Thursday. The 40-year sovereign debt to be issued in March will be a reopening of the May 2024 issue, the ministry said. Thursday's auction will probably attract demand from insurance companies and pension funds because of the higher yields that the ultra-long-dated issue offers.

AUSTRALIA & NEW ZEALAND

In Australia, the Labor government's budget for 2025-26 on Tuesday will be critical to markets given the risk that it includes more spending ahead of a federal election due by mid-May.

High government spending is already a concern for the Reserve Bank of Australia, which cut interest rates for the first time since 2020 in February, warning markets not to expect a string of cuts.

With the election expected to be closely fought, the Labor government might choose to use the budget as a platform for more sweeteners.

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March 21, 2025 12:45 ET (16:45 GMT)

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