Japanese Domestic Consumer Goods Price Index (OCT) (23:50 GMT; 18:50 EDT)
                         (MoM)                     (YoY)
Consensus:         0.1%                       3.3%
Previous:             0.3%                       3.6%

Outlook:  Domestic corporate goods prices in Japan are expected to slow to 0.1 percent in the month of October, bringing the annual rate down from a record to 3.3 percent. Declines in global commodity prices will likely lead to a slip in CGPI, as prices at the factory gate diminish. While this should ease some of the profit-margin pressures companies have experienced in recent months, easing costs will do little to spur inflation for consumers as CPI has struggled to emerge from deflation. As a result, markets will likely price in stable rates for the next few months, despite hawkish rhetoric from Bank of Japan Governor Toshihiko Fukui.

Previous:  Producer prices in Japan rose the most in more than 25 years during the month of September, as the annual rate hit 3.6 percent from 3.5 percent in August. The gain was led by a surge in raw materials prices, as the Bank of Japan's overseas commodity index, which is a weighted average of prices of 16 markets including crude oil, copper and aluminum rose 13.8 percent in September. Despite the jump, the increased costs for companies failed to extend to the consumer arena, as annualized CPI dipped from 0.9 percent to 0.6 percent. Given the inability of companies to pass on cost increases to customers, price pressures have been close to non-existent, leaving the Bank of Japan to leave rates at 0.25 percent since July.

Japanese Gross Domestic Product (3Q) (23:50 GMT; 18:50 EDT)
                         (QoQ)                 (Annualized)
Consensus:         0.2%                       1.0%
Previous:             0.2%                       1.0%

Outlook:  Japanese GDP growth is expected to hold at an annualized 1.0 percent in the third quarter, matching the slowest expansion since 2004. An acceleration in consumer spending has been hard to come by, as businesses have yet to pass booming profits down to their employees, leaving wage growth to suffer. Meanwhile, a global decline in demand for autos and consumer electronics could threaten Japanese exports, which could also take a bite out of GDP. Additionally, capital expenditures could see a slowdown as well after rising at the fastest pace in nearly six years during the second quarter at a rate of 16.6 percent. With both consumers and businesses set to decrease spending, the Bank of Japan may not find the economy to be expanding at pace consistent with further monetary policy tightening.

Previous:  Japanese economic expansion in the second quarter rose less than the expected 1.2 percent at an annualized rate of 1.0 percent. Domestic demand led by capital expenditures of 3.7 percent fueled growth, as companies such as Toshiba Corp. increased spending to meet higher demand. Exports, however, only grew 0.9 percent, which was the slowest pace in more than a year while imports climbed 2 percent. The variance left net exports to detract 0.1 percentage point from GDP. Meanwhile, consumer spending rose a more tepid 0.5 percent, as an increasingly tight labor market has failed to produce increases in wages. As a result, households find themselves with less income with which to spending on discretionary items. Overall, the Japanese economy failed to prove that it was well on its way to expansion, as businesses alone cannot fuel growth.

Japanese Consumer Confidence (OCT) (05:00 GMT; 00:00 EDT)
Consensus:         48.3
Previous:             46.3

Outlook:  Consumer sentiment is expected to rebound for the first time in four months with Japanâ�,��"�s October Print.  A predicted 2.0 point rise would bring the gauge closer to breaking the 50.0 plane, with reads greater than the key figure denoting optimists outpace pessimists.  The last time the confidence measurement was above 50.0 was back in the second quarter of 1990.  BoJ Governor Toshihiko Fukui said in a recent statement that he doesnâ�,��"�t see â�,��"any reason to be overly pessimistic.â�,�  Wages grew 0.1 percent in the third quarter, keeping relatively stable against stalling inflation.  Also, the recent drop in energy prices has helped line citizensâ�,��"� pockets and in turn allow for greater discretionary spending.  The best contribution to this optimism report comes from the Eco Watchersâ�,��"� survey released a few days ago.  Holding above its own 50.0 level mark for the third month in a row, the consumer-related businesses survey may lead a rise in the government report.  However, the perpetually dour outlook on the economy and high levels of savings have continuously pushed the household spending gauge lower.  In September, the spending indicator dropped for the ninth month by 6.0 percent, to a near five-year low.  If domestic consumption fails to catch up with business confidence and instead continues to detract from the economic coffers, a turn in the worldâ�,��"�s second largest economy could be in the works.

Previous:  Japanese consumer confidence waned for the second month in a row in September as disappointing wage growth put leveraged the burden of higher gasoline and food prices.  At 46.3, the monthly read was the lowest in a year, while the quarter marked an unimpressive 45.6.  Over September, the average price for gasoline rose to 144 yen per liter, despite a global drop in energy prices.  Furthermore, consumers were saddled with a strong rise in fruit and fresh food prices as heavy rains ruined crops.  Statistically, fruit prices were 25 percent higher than the average for September this year.  These transient factors aside, the underlying draw on optimism remains with wages.  Though the third quarter Tankan report revealed that business leaders plan to increase spending by the most in 16 years in the coming yearâ�,��"�s time, labor costs remain stable.  In the most timely wage report, August average hourly earnings slipped 0.5 percent, for the first decline in seven months.  With consumers contributing little to growth prospects, the BoJ decided to pass on further rate hikes to assess whether economic trends are in fact leading to a certain rise out of deflation.

New Zealand Producer Price (3Q) (21:45 GMT; 16:45 EDT)
                        (Input)                    (Output)
Consensus:         n/a                          n/a
Previous:            2.7%                       2.7%

Outlook:  While there are no official expectations for third quarter input and output prices for New Zealand factories, the record high energy prices combined with strong consumer spending should keep both gauges buoyant for the third quarter.  Likely the foremost on business leadersâ�,��"� minds over the three month period was the record high import energy bill.  Though in recent months crude oil prices have led a steady drop in the petroleum goods group, the average price per barrel for the quarter was $70.69.  Further quashing expectations of a much cheaper bill in the business sector were the ANZ commodity price index and NZIER third quarter business report.  The former indicator reported that the three months through September held consistent inflation for necessary goods for the first time since the first quarter of 2005.  Though it was the business confidence report that showed 48 percent of business leaders expect their costs to rise in the months ahead based on their current levels.  The same survey helps formulate expectations for the output gauge as well.  According to the national economic research group, 37 percent of those firms polled expected to raise their prices in the forth quarter, suggesting a rise in the previous quarter was already put into effect.  The expectations are further backed by the consistent drop in manufacturing activity to its lowest level since January, despite year-and-a-half high confidence.  The RBNZ will monitor this report to determine whether the third quarter CPI contraction to a 3.5 percent annual pace was overstated.

Previous:  Producer prices rose on the input and output tab in the second quarter.  In the three months through June, prices paid and received by factories rose 2.7 percent a piece.  For the input tally, the addition stoked a 7.8 percent annual pace, the fastest in five years.  Similarly, prices at the factory gate over the year were 5.6 percent higher, also the fastest pace five years.  The even pass through of higher prices played the lead role in accelerating the consumer basket inflation gauge to a recent record 4.0 percent, and driving speculation over another rate hike.  From the breakdown on both sides, only one component group reported a drop in prices; the electricity, gas and water industry.  In the input balance sheet, wholesale trade ran at a 7.5 percent pace while transport jumped 4.8 percent.  This translated into a massive 16.2 percent advance in mining output prices a more modest 4.3 percent increase in transport related items.

Richard Lee is a Currency Strategist at FXCM.