Asian market sentiment this week hinges on central bank actions and key economic data.

Starting with China's nuanced economic signals, the focus shifts to central bank meetings in Japan, Indonesia, China, and Taiwan, where rates are widely anticipated to stay put.

Trade and inflation figures from various Asian economies will also be thoroughly examined for deeper insights into regional economic performance and market trends.

Here's a preview of the week's key events.

MONDAY, March 17

China Indicators

Retail sales: Growth quickened at 4% year over year for January and February combined, versus 3.7% in the preceding month.

Industrial production: A 5.9% expansion was recorded in January-February combined, surpassing market expectations of a 5.3% rise but slowing from 6.2% in December.

Housing price index: The decline in Chinese housing prices continues. The fall softened to 4.8% YoY in February from 5.0% in January.

Unemployment: The jobless rate rose to 5.4% in February from 5.2% a month prior.

Trade Data Dump

Singapore: Non-oil exports rose 7.6% YoY in February, a turnaround from the 2.1% decline in the previous month. The rebound was attributed to higher sales of non-electronic items such as non-monetary gold, specialty chemicals, and measuring instruments. Electronic shipments also increased, driven by chips, PCs, and disc media products.

Indonesia: Exports jumped 14.05% YoY to $21.98 billion in February, beating the 9.1% forecast and sharply accelerating from the 4.56% expansion in January.

India: Exports climbed to $36.91 billion in February from $36.43 in January, while imports fell to $50.96 billion from $59.42 billion. The trade deficit amounted to $14.05 billion.

TUESDAY, March 18

Labor data from Hong Kong and Singapore will be released on Tuesday.

WEDNESDAY, March 19

The Bank of Japan is widely expected to keep its policy rate unchanged at 0.5% at its two-day meeting ending Wednesday.

At Governor Kazuo Ueda's postmeeting news conference, market participants will seek hints on the timing of the central bank's subsequent rate increase.

Similarly, Bank Indonesia is projected to keep the benchmark rate steady after unexpectedly slashing its official cash rate by 25 basis points to 5.75% in the January meeting.

In addition, Japan will release trade numbers and machinery orders midweek.

THURSDAY, March 20

The People's Bank of China is anticipated to keep the one-year and five-year loan prime rates unchanged at 3.1% and 3.6%, respectively.

Taiwan's central bank, CBC, will set its benchmark rate on Thursday. CBC is expected to stand pat and keep the rate at 2%, according to economists polled by Reuters.

Economists surveyed by Reuters predict the Taiwanese central bank would keep rates steady until the first quarter of 2026 due to concerns over inflation and fresh US tariffs.

Australia's jobless rate likely held steady in February, CommBank Research said in a note, penciling in a +30k rise in employment and a participation rate of 67.3%.

Meanwhile, according to consensus estimates, New Zealand's gross domestic product grew 0.4% quarter on quarter in the three months ended December, recovering from the 1% contraction in the third quarter of 2024.

Other indicators due Thursday are Malaysia's trade data and Hong Kong's inflation rate.

FRIDAY, March 21

Japan will publish its February consumer price index. The already-released Tokyo inflation report suggests the national headline inflation moderated in the second month of 2025.

"Headline inflation is likely to ease to 3.5% year on year from 4% in January after a resumption of the government's energy subsidy program and fresh food prices stabilized," ING said in a note.

Concurrently, Reuters will publish the Tankan Index, a monthly survey of leading Japanese companies for business sentiment.

Meanwhile, Malaysia's inflation rate likely edged down to 1.6% in February from 1.7% in January, according to estimates from Trading Economics.

ANZ analysts expect inflation in Malaysia to remain manageable in 2025, supported by moderate domestic demand and lower commodity prices.

South Korea's producer price index will also be published on Friday, alongside New Zealand's trade numbers.