1)    Australian Trade Balance
2)    U.K. Net Consumer Credit
3)    Canadian Current Account
4)    U.S. Factory Orders
5)    Japanese Manufacturing PMI
6)    Japanese Industrial Production

Australian Trade Balance (July)(00:30 GMT, 21:30 EDT)
Consensus: -1,400 Million
Previous: -1,371 Million

Outlook: Analysts expect that the Australian trade balance deficit will remain relatively unchanged, as increased receipts from commodity exports were likely offset by gains in fuel and business equipment imports. Sky-high demand from Asia has caused a surge in prices for Australian iron-ore and coked coal. Given high prices, miners have stepped up production and boosted overall export numbers. Such high Asian demand, however, has likewise caused a surge in international oil prices. While Australia has historically been less dependent on imported oil, a swell in energy usage has left the national economy more prone to higher costs. Regardless, economists predict that the deficit will remain near two-year lows set last month and prove bullish for the Australian economy.

Previous: The Australian trade balance registered its lowest deficit in over two-years, as surging commodity exports outpaced imports near record-highs. Slowing domestic demand saw imports fall 1 percent in the month, while a 1 percent drop in exports was only a small retracement from previous growth. Reserve Bank of Australia Governor MacFarlane said in June that exports will support Australian economic growth while consumer spending and home building slow. As such, it will be important that future exports continue to increase and the trade balance deficit continues to narrow in order to support future economic expansion. 

UK Net Consumer Credit (JUL) (8:30 GMT, 4:30 EDT)
Consensus: £1.5B
Previous:  £1.3B

Outlook:  July's change in UK net consumer credit is expected to remain subdued at £1.5B following June's rise to £1.3B. This expectation is fairly in line with July data that we've already seen from the British Bankers' Association, a private industry group. While their measure of consumer credit actually gained £65 million in July, U.K. retail sales fell 0.3 percent in the same month and likely reflect weak consumer credit card usage. The consensus estimate for July's consumer credit is still well below the £2.0B reached in May, but economists feel that it will likely bounce higher as consumers take advantage of the Bank of England's August rate cut.

Previous:  In June, the increase in net consumer credit was the lowest seen since April�"well below analysts' predictions of a £1.7B reading. Credit card lending only increased £335M in the month compared to £751M in May.  It was a sign of continued consumer spending weakness as the UK economy slowed and house values fell. Lower housing values subsequently hurt consumer wealth and propensity to spend. Although this number is certainly at the low end of the recent range that we've seen, it is still rather high compared to figures seen prior to the past four years. One of the reasons that the Bank of England was hesitant in cutting interest rates was a high level of personal debt in the country. Regardless, a downward surprise in June's consumer credit reading allowed central bankers to lower benchmark rates in order to boost economic growth.

Canadian Current Account (2Q)(12:30 GMT, 08:30 EDT)
Consensus: C$5.1 Billion
Previous: C$4.0 Billion

Outlook:  After narrowing to its smallest figure since 2002, the Canadian current account surplus is expected to modestly improve to C$5.1 billion. A 0.5 percent gain in manufacturing shipments, along with improved commodity exports, is expected to offset a net deficit of C$300 million in international securities transactions for the quarter. Likewise significant, imports seem to have slowed their torrid growth of the previous year, actually dropping in the second quarter. Moving forward, many analysts do not expect further broad-based improvements in the current account figure; the Canadian dollar's 7 percent appreciation against the U.S. dollar since May will likely weigh on future export growth. Given that trade with the U.S. accounts for 85 percent of all Canadian international sales, any subsequent drop in American demand could cause a large slowdown in Canadian export industries. Any declines would likely then soften the Bank of Canada's hawkish tones on the world's seventh largest economy.

Previous:  The national current account surplus shrank to its lowest since 2003, as a boost in domestic demand sparked import growth. The headline figure registered at C$4 billion in the first quarter, compared with a revised C$5.3 billion number in the fourth quarter of 2004. The Canadian dollar's strength has continued to hurt export industries, as it hit 12-year highs against the U.S. dollar in November of 2004. The effect of the currency's strength has not been all negative, however, as it has kept overall inflation low. Despite healthy expansion in the first quarter, the Canadian economy experienced relatively low quarterly inflation of 2.4 percent�"less than the 3.5 percent U.S. increase. An overall pickup in domestic demand buoyed the economy as exporters saw revenues fall. Given that Canada is the most export-dependent country in the G7, however, any future growth will likely depend on a pickup in overall international sales. 

US Factory Orders & Inventories (JUL) (14:00 GMT, 10:00 EDT)   
Consensus: -2.2%   
Previous: 1.4%

Outlook:  July's manufacturing orders growth probably suffered a rather hefty correction. Orders for durable goods alone, which account for more than half of the total manufacturing measure, fell 4.9% in July. After the increased spending in June, we are seeing pullbacks across the board. The only categories that reported gains in orders were semiconductors, motor vehicles, and primary metals. The increased orders for automobiles are the effect of employee discount promotions being offered by the Big Three American car manufacturers. A lower-than-expected number is certainly a possibility in this case as the durable goods number surprised to the downside, but it should not be too much cause for alarm. This measure is generally volatile and with a drop of 2.2%, the total amount of orders from the first seven months of this year is still 8.4% higher than the same period last year.

Previous:  Manufacturing orders gained for the forth consecutive month in June. A huge contributor to the 1.4 percent monthly increase was the 14.4% rise in machinery orders, which had actually fallen by 2.8% in the month prior. In addition, orders of computers and electronic products garnered an 8.8% rise in June. New orders for automobiles actually dropped 1.6% despite the employee discount promotion started by General Motors in June. Aircraft orders also declined after a surge in May. However, the level is still very high as orders continued to come in after the Paris Air Show, which took place in June. Although it is a good sign that other sectors of the economy were able to make up for losses in the more volatile transportation sector, this sort of growth is somewhat anomalous and points to a retracement in the near future.

Japanese Manufacturing PMI (August)(23:30 GMT, 19:30 EDT)
Consensus: N/A
Previous: 54.1

Outlook:  Recent trends in manufacturing are likely to continue through August, as some analysts call for an increase in Japanese manufacturing PMI. The survey, which measures how many managers witnessed improved conditions versus those who saw declines, will likely reflect a recovery in production growth after July's drop. Japan's economic expansion has become increasingly dependent on export growth, as domestic spending increases at a slower rate than previously. As such, it will be important for August's PMI reading to register continued progression, improving outlook on economic expansion in the world's second largest economy. 

Previous:  The Japanese PMI inched higher from 54.0 to 54.1 despite a drop in the month's Industrial Production. Preliminary numbers for July are predicted to show a 0.5 percent monthly decline and a -1.5 percent yearly change. While industrial production has been on a downward growth trend, many feel that improved demand from China and other international economies will see a reversal in the near-future. The Purchasing Managers' Index reading certainly supports this theory, as the index has seen nothing but increases in “New Orders” since December 2004.

Japanese Industrial Production (MoM) (JUL P) (23:50 GMT, 19:50PM EST)
Consensus: -0.5%
Previous: 1.6%

Outlook:  Japanese industrial production, a fairly volatile monthly measure, will probably contract in July following 1.6% growth in June. Exports, whose strength induced higher production numbers last month, shrank in July. Also, many producers are probably taking the opportunity to reduce operations and use up inventories instead. In the longer term, the overall trend is mixed. Any concern over the possible effects of oil prices on the US economy should be shared with the Japanese economy, since the US is their largest export market. The country's high dependence on imported oil and export demand makes it all the more susceptible to the consequences of oil prices, which recently breached $70 a barrel. According to a survey released along with last month's figures, manufacturers had been planning on reducing production by 0.2% this month and with a 1.9% increase in August. Despite the effect of oil, however, many economists feel that increased demand from China could see overall exports and industrial production increase. 

Previous:  June's 1.6% growth in industrial production came after a somewhat surprising 2.8% drop in May. Manufacturing activity sped up in the month on anticipation of higher overseas sales. The recently improving exports, which experienced 3.6% growth in the 12 months up to June, were a sign to companies to produce more as demand increased to take advantage of profit opportunities. Production of electrical machinery as well as electronic parts and devices soared with growth rates of 5.1% and 4.5%, respectively. This strength pushed the later released all-industries index up 1.3% for the month, the first rise since March. It will also be a good end to the second quarter, which produced the country's third consecutive quarter of GDP growth.

Richard Lee is a Currency Strategist at FXCM.