Events in the world's three biggest economies will hold sway over Asia's financial markets this week.
1. US GDP
A slew of data including the manufacturing purchasing managers' index (PMI), pending home sales and durable goods orders for July are due out of the United States this week, but attention will likely fall on the second-quarter gross domestic product (GDP) scheduled for release on Thursday.
Economists at the Bank of America expect the U.S. economy to grow 3.2 percent from the previous quarter, above the advance estimate of 2.3 percent and following a 0.6 percent gain in the first quarter.
Last week, the Federal Reserve sent out mixed signals about the pace of the U.S. recovery in its July meeting minutes, where it noted that economic conditions necessary for a rate hike "were approaching" but "had not yet been achieved" so markets will be scouring the GDP release and other data for signs that a recovery in the world's largest economy is on track.
Wary investors are also keeping an eye on China, whose stubborn economic slowdown continues to grip global markets. Beijing's unexpected move to devalue the yuan on August 11 further unnerved an already-frail local stock market, which went on a whirlwind ride last week, reminding investors of the torrid market rout in mid-June.
On Friday, the benchmark Shanghai Composite closed down 4.2 percent, chalking up losses of more than 10 percent since the currency devaluation.
"After the renminbi devaluation, we see a lot of 'buy the rumor, sell the news'," David Zhang, head of E Fund & PM at E Fund Management, told CNBC.
"Overall, we think that markets are nervous so whenever there's news about state-owned enterprise (SOE) reform or when the China Securities Financial Corporation (CSFC) declares something, markets feel that they are going to do less [support measures]."