Economic Indicator Release Schedule | Announcements & Importance

By Advisorymandi
2-November-2018 8:38:58 AM
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Keeping a close tab on the release schedule of the major announcements or financial events through an economic calendar for a few minutes every day is important to achieve success in the competitive world of financial and economic markets. If you are a beginner in the world of stock market, then using a calendar will help you take the smart investing decisions.  An economic calendar is primarily a real-time calendar that shows important news and scheduled data releases, which are related to the financial market or economy in general. The events or data are released on the weekly, monthly and yearly basis.

There are prominent economic calendar indicators that impact the market and knowing about these indicators is necessary for gaining success. Here are the prominent economic indicators and time period in which they are announced and how they are important for the investors in India:

Fortnightly Economic Calendar Data

There are some prominent indicators that constitute a part of the fortnightly data. Let us have a look at them:

 

  • Bank Deposit Growth: It is announced every 14 days by the Reserve Bank of India (RBI). It helps to analyze the growth in deposits like Current Account, Savings Account (CASA) and other prominent financial instruments.
  • Bank Credit Growth: It is announced every 14 days by the RBI. It helps to determine the growth of the credit in various sectors like industrial, agriculture, consumers and so on. The growth is determined in Year-Over-Year (YoY) basis.
  • RBI Forex Reserves: It is announced every 14 days by the RBI. It helps to determine the reasons behind the change in forex reserves like FDI & FII flows, intervention by RBI and so on.

 

Monthly Economic Calendar Data

There are some prominent indicators that constitute a part of the fortnightly data. Let us have a look at them:

 

  • IIP Growth: It is announced the second week of every month by the Ministry of Statistics and Programme Implementation (MOSPI). It is used depict growth in the manufacturing, mining and electricity sector in the second week of every month using the previous month data.
  • CPI Inflation: It is announced the second week of every month by MOSPI. It is used to determine retail CPI is essentially a statistic which measures the price changes in a basket of goods and services in India.
  • WPI Inflation: It is announced second week of every month by MOSPI. It is used to judge the average change in price of the goods that bought and sold in the wholesale market.
  • PMI Services: It is announced at the 5th of every month. It is used to determine the performance of the service sector. A PMI above 50 is considered good growth in the service sector and below 50 indicates weak growth.
  • PMI Manufacturing: It is announced at the 1st of every month. It is used to analyze the performance of the manufacturing sector. A PMI above 50 is considered good growth in manufacturing sector and below 50 indicates weak growth.
  • Trade Data (Goods): It is announced the second week of every month by the Commerce Ministry of India. It is used to determine the value of rupee. Here the growth in exports, imports and the monthly trade deficit in merchandise trade are
  • Trade Data (Services): It is announced the second week of every month by the RBI. It is used for analyzing growth in exports, imports and deficit/surplus in services using data of the previous month.
  • Core Sector/Infra Output: It is announced last day of the month by MOSPI. It is used to judge performance of the core infra sectors such as the electricity, steel, oil, cement, natural gas, etc that constitute 41% of the IIP.

 

Periodic Economic Calendar Data

There are some prominent indicators that constitute a part of the fortnightly data. Let us have a look at them:

 

  • Gross Domestic Product (GDP): It is announced at the end of each quarter that is May/August/November/February. It is used to determine the economic condition of a country.
  • Current Account Deficit (CAD): It is announced every quarter. It is used to measure the increase or decrease in interest Any rise in the CAD impacts the rupee.

 

Conclusion

Each of the economic calendar indicators mentioned above has the potential to impact the market (it may be positive or negative). It is extremely important to have a brief understanding of the importance of the economic indicators before beginning to trade or invest. Smart investors are always on the top if they make a habit of going through the economic calendar and maximize their profits.

 

Note: All information & data provided in this article is for the educational purpose as well as to give general information on the finance & economy, not to provide any professional advice or service. Views & opinions are not biased against the company and do not affect any official policy or any other agency, an organization within the content.

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Author: Advisorymandi

AdvisoryMandi is India's most trusted Stock Market Advisory marketplace covers NSE, BSE, MCX & NCDEX. Invest with confidence and harness the power of AdvisoryMandi to make smarter investment decisions in Stocks, Indices, Commodities, Forex & IPO.

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Krishna Kumar
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Krishna Kumar
9 months 10 days ago

Nice article on economic growth measured with various tools and ways. These will ensure the future possibility to focus and work on required areas to contribute to the nation’s GDP. Thank you for sharing this information.

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