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Watch oil, gold and the value of the US dollar this week as fighting worsens in Libya, unrest spreads through the rest of the region and a major protest which may hit Saudi Arabia on Friday night, our time.

Slowly but surely fears about the impact of the unrest in Libya and the rest Middle East are starting to overwhelm the bulls’ belief that the US economic recovery is all powerful.

The week ahead: Australian jobs, Chinese economic data for last month, a Kiwi rate decision and US retail sales, not to mention oil and the worsening unrest in Libya.

So was America’s February jobs report one of the strongest US payroll reports in months?

China has a new five year economic plan that will emphasise boosting incomes, social and welfare spending, pollution and carbon control and newer industries in technology and biology.

So will tonight be the night that marks the rebirth of the depressed American jobs market?

The AMP’s chief economist and Strategist, Dr Shane Oliver says there was a lot of uncertainty going into the recent earnings reporting season.

The New Zealand Reserve Bank meets on Thursday to discuss monetary policy and the emerging question, should there be a rate cut to soften the growing financial impact of the Christchurch earthquakes?

The first conclusive evidence of the damage done to exports and building approvals by the Queensland floods in late December and early January has emerged in the latest figures.

No real surprise in yesterday’s national accounts with growth on track, no sign of any weakness feared by some analysts back in January, wages and labour costs under control, inflation weak and consumption moderate.

More signs that China’s manufacturing sector is taking a bit of a breather, but not slowing too sharply.

And Japan’s monthly report card for January was ruled off yesterday with unemployment remaining steady, deflation slightly easing, but consumer spending fall for a fourth straight month.

No rate rise from the Reserve Bank yesterday and no sign of when they might move.

Yesterday we told you that iron ore prices would rise by an unexpectedly large 20% in the June quarter, with a further boost to come from India’s surprise move to boost taxes on iron ore exports.

Well, guess what, retailing isn’t dead, despite what many half yearly reports from some of the industry’s leaders might have implied.

Just when many analysts thought iron ore prices couldn’t go much higher there’s news of another round of big price rises in the offing.

No change in the economy’s current sluggish pace, judging by yesterday’s data.

It’s not going to get any easier for markets in the coming week.

The Australian December half earnings reporting season finished today with several large groups reporting interim of full year results See the Diary).

Oil prices ended higher but off their peaks on Friday after Saudi Arabia let it be known that it had raised production by around 8% to (to above 9 million barrels per day) make up for a near halt in Libyan exports.

The economy dominates Australia this week, with the Reserve Bank board meeting tomorrow, the fourth quarter economic growth figures out on Wednesday, after the current account figures and other data today and tomorrow.

The gradual disintegration of Libya, coming after the collapse of the regimes in Egypt and Tunisia, plus demonstrations in Algeria, Bahrain, Yemen and talk of unrest on Saudi Arabia has combined to send oil prices higher.

This week’s Christchurch earthquake will make the list of very significant (or even the highest level, super catastrophic) insurance events for 2011.

Yes, the December quarter capex figures from the Australian Bureau of Statistics yesterday were important for the 4th quarter growth figures to be released next Wednesday and for confirming that the resource boom is still alive and slowly taking shape.

The total impact of the two earthquakes at Christchurch will top 10% of New Zealand’s annual economic output, but it shouldn’t cripple the economy or cause a debt blow out.