In the days of strong Lords and a weak-ish King, it was the Magna Carta. In the revolutionary days of Benjamin Franklin, it was the Bill of Rights.

Now, there’s a disabled political solution being applied inside the Atlantic theater of U.S. and U.K. politics -- The Kick the Can Down the Road tactic.

The tactic gets applied regularly. Let’s make sure we use the term correctly.

Ahem!

According to the Grammarist—

“Kick the can down the road, a ubiquitous phrase in American politics over the last few years, is not a reference to the game of kick the can. It refers to the practice of kicking a can ahead of oneself while walking along a road.

“So, metaphorically, the phrase means to defer conclusive action with a short-term solution.”

In the Pacific theater, we have the deft Aussies. They are offering up a more novel twist. In that Anglo country, you just make sure there is a new Prime Minister, ultimately one for every suburb of Melbourne or Sydney, every few months.

Let’s move on.

Next are Reuters in London materials, the historic source for these comedies or tragedies. (Depending on how you view it, upon entering the Globe Theater!)

Their five big world market themes got reordered in status for equity worry. To no surprise, Kick the Can is the top-ranked event for stocks on both sides of the Pond and, as surely, in Asia.

(1) The U.S. China Trade War Can Officially Kicked Down the Road

The March 1st deadline — that ends a 90-day U.S.-China trade truce — will not matter. Hopes stay high that some kind of trade deal — reportedly being sketched out by the two sides — will be reached in March or April.

What is the alternative? There would be a significant trade war escalation — with Washington slapping 25 percent tariffs on $200 billion worth of Chinese goods — more than double current levels.

But a trade deal may not be a panacea for China, whose economy grew in 2018 at its slowest rate in 28 years.

Purchasing manufacturing surveys (PMIs) are likely to confirm that lackluster picture. Factory activity shrank more than expected in January, hit by trade spats but also by cooling domestic demand.

And as China — accounting for a fifth of global manufacturing — slows and the trade war disrupts supply chains, hiring and investment, the impact will be felt across Asia. There was a taste of that already: advance data from Japan showed manufacturing shrank this month for the first time since 2016. Others might follow.

(2) Wait for the Can to Be Kicked in the U.K. on Brexit

Britain’s parliament and Prime Minister Theresa May are squaring up for another battle as they try to agree a Brexit divorce deal before time runs out — a “meaningful vote” on the agreement could come as early as Feb 27.

If May cannot bring a deal back soon, she has promised to make a statement to parliament on her progress on Feb. 26th, and then to allow lawmakers to debate the issue on Feb. 27th.

Any sort of defeat for May — who many argue really has nothing very new to present to parliament — will raise risks of a no-deal Brexit, dealing a blow to the pound and hurting vulnerable sectors, such as housing.

Just how much damage has been done to the real estate market already will be evident when housebuilders Taylor Wimpey and Persimmon report earnings. These companies were top targets for short sellers positioning for share price falls. Those bets have been scaled back, but a messy Brexit that causes prospective buyers to delay purchases will be bad news for them and the estate agents trying to flog property.

Agent Rightmove, reporting on Friday, will seek to quell fears over the market, especially after rival Purplebricks shed nearly a quarter of its market value following its results.

(3) Finally, a U.S. GDP Growth Reading for Q4

After a forced one-month hiatus, we’ll finally get a read on how the United States economy fared last quarter.

Federal Reserve Chairman Jerome Powell is also likely to give his take on the economic outlook and its monetary policy plans when he testifies in the House of Representatives and Senate on Feb 26. and 27.

The Commerce Department will then publish its first look at fourth-quarter gross domestic product on Thursday. Economic growth data was scheduled for Jan. 30 but delayed, along with a slew of other economic reports, by the 35-day partial government shutdown.

December’s final third-quarter GDP report showed annual growth contracted to 3.4 percent from 4.2 percent in the April-June period. Signs of substantial slowing have dribbled in since then. The Q4 estimate is expected at 2.4 percent.

In recent days delayed December retail sales data came in way below expectations, and durable goods orders also disappointed. So did Markit’s February manufacturing flash PMI, which was unaffected by the shutdown.

On Friday, Commerce will release December personal income and consumer spending, which was supposed to land on Jan. 31, as well as personal income for January.

(4) The ECB Will Bring Markets More Stimulus

More stimulus from the European Central Bank (ECB) — probably in the form of a cheap bank loan program — feels almost like a done deal.

That such loans are on policymakers’ minds is evident in the minutes from the last ECB meeting, in policymaker comments and on bond markets.

An advance peek into February’s PMI surveys indicates factories across the bloc shunted into reverse for the first time in six years. The question for the ECB before its March 7 meeting is: will “flash” inflation numbers due Thursday and Friday reinforce the picture of a sluggish economy and below-target inflation.

The ECB targets price growth of around 2 percent. But a long-term market gauge of Eurozone inflation is languishing well below that, below 1.43 percent — a 2-1/2-year low. Last February it was approaching the 2 percent-mark.

The last print showed Eurozone inflation slowed to 1.4 percent in January. Core inflation did show signs of picking up, however, as services costs rose, possibly fed by wage growth. The other upcoming data print of interest is consumer confidence — this did rise last month, helped by the low inflation and higher wage combination.

(5) Nigeria Votes this Week. Ukraine, South Africa and Poland Will Shortly

After a week’s delay, Nigerians are headed to the polls on Saturday to pick a new president after a shock last-minute one-week delay to the vote. The stakes are high in a race pitching incumbent Muhammadu Buhari against his closest rival Atiku Abubakar, a business man and ex-vice president.

Africa’s top oil producer has suffered from violence surrounding its elections in the past, leaving the population in turmoil and rattling its financial markets. Last week’s surprise delay to the vote sent Nigeria’s stocks slumping and put pressure on its bonds and currency.

Elsewhere in the region, voters in Senegal on Sunday will have their say at the ballot box with President Macky Sall the strong favorite to win.

It’s a busy year on the political front across emerging markets more widely.

Presidential elections are scheduled in Ukraine on March 31 and South Africa on May 8. Voters in Poland, Argentina, India and Indonesia, the Philippines and Thailand also head to the polls this year. In Turkey, local elections are due on March 31.

Top Zacks Rank Stocks—

The Boeing Company (BA Quick QuoteBA - Free Report) : One U.S. aircraft construction stock is responsible for over half the DJIA gains this year. It is a Zacks #1 Rank. But the Zacks VGM score is C. The Value score is D.

GlaxoSmithKline (GSK Quick QuoteGSK - Free Report) : Will this U.K. pharma stock get moving again? It is a Zacks #1 Rank, and the Zacks VGM score is B.

Rio Tinto (RIO Quick QuoteRIO - Free Report) : I needed an Aussie stock, to go with the U.S. and U.K. pair this week. Iron ore prices are still rocketing higher. This is one stock to play that.

Key Global Macro—

On Monday, Powell’s speech before a Congressional committee is notable.

On Thursday, China’s release of PMI data is worth watching.

On Thursday, the U.S. GDP reading compresses both 1st and 2nd readings. Consensus says should be roughly +2.0%.

The March 29th deadline for Brexit is the next to be delayed.

On Monday, Mexico’s revised not seasonally adjusted (NSA) real GDP growth rate should come into +1.75%, down from +2.5%. The seasonally adjusted rate is +0.2% versus +0.8%. Those look slim, but not scary.

On Tuesday, the unemployment rate in Taiwan comes out. It has been 3.7%. This will be interesting to watch for trade war stress.

U.S. building permits should fall to 1.27M from 1.32M. I’m guessing it is weather-related. Starts look to rise to 1.27M from 1.25M.

The Fed’s Powell speaks in Washington DC.

On Wednesday, the national unemployment rate for Brazil comes out. This should rise from 11.6% to 11.9%.

U.S. durable goods orders ex-transportation comes out. The last reading at +0.1% was weak.

On Thursday, the China manufacturing PMI (at 49.5) and the non-manufacturing PMI (at 54.7) are updated.

The Fed’s Clarida speaks in Washington.

U.S. GDP growth comes out. The Q4 forecast is now for +2.0%, down from +3.4% the prior Q3 quarter. That release has been delayed by the shutdown, but will not contain the actual losses.

On Friday, the manufacturing PMIs for Japan (48.5) and India (53.9) come out. Japan has been hit by the US China trade war. India has not.

The U.S. ISM for manufacturing comes out. This key PMI was 56.6. It could be 54.0 this time around. That amounts to no change.