The Fed held a much-awaited meeting yesterday. The bank hasn’t made any policy changes. As a result, the USD weakened and EUR/USD rocketed. Jump in to know all the latest news!
5 important events this week will bring us!
- British average earning index (Tue, 11:30 MT) – According to the forecasts, the indicator will reach 3.4%. If the actual figures are higher, the GBP will be supported.
- Canadian CPI (Wed, 15:30 MT) – Higher than expected level of consumer inflation will be positive for the loonie.
- US retail sales and core retail sales (Wed, 15:30 MT) – Analysts anticipate the headline retail sales to advance by 0.2%. As for its core level, it will likely increase by 0.7%. As usual, higher figures will be appreciated by the USD bulls.
- Australian jobs report (Thu, 4:30 MT) – The level of employment change is expected to rise by 15,200 jobs. At the same time, the level of the unemployment rate is forecast to remain at the same level of 5%. If the actual level of employment change is higher and the unemployment rate is lower than the expectations, the AUD will be supported.
- Speech by the BOC governor Stephen Poloz (Thu, 18:15 MT) – The Bank of Canada’s governor will be holding a press conference in Ottawa. He may provide some supportive comment for the Canadian dollar.
- During the weekend, the US president Donald Trump continued to pressure China after the US raised tariffs on $200 billion of Chinese goods on Friday. He said that the deal would be far worse for China is his second term. The Chinese side said that it "deeply regrets" the US decision to hike tariffs and will apply countermeasures. As a result, the risky assets fell down. At the same time, the USD/CNH pair has jumped to its highest level since January. However, the trade negotiations keep going. The presidents of the two leading economies are expected to meet during the G20 summit, but now we may only wonder how many surprises the sides will bring to the market until then.
- The Saudi energy minister said that two of its vessels were targeted in an attack on Sunday.
- The ministers of the British Cabinet want the Prime Minister Theresa May to stop the cross-party talks and start indicative votes in the Parliament.
- The bullish market is confirmed: Bitcoin has risen above $7,000 during the weekend. The total market capitalization reached $200 billion. Analysts see one of the main reasons in Fidelity, the famous financial institution, buying and selling Bitcoin.
What will happen? The US Q2 Gross Domestic Product will be announced at 15:30 MT time (GMT+3) on Thursday, July 29…
Today the Fed will make a policy statement at 21:00 GMT+3. This event will affect all the currency pairs with the USD and thus almost the all Forex market!
The Reserve Bank of Australia (RBA) will hold a meeting and announce changes to the monetary policy on August 3, at 07:30 MT time (GMT+3).
What events to follow and how to trade during the week of July 2-6?
EUR/USD retraced to 1.1870 after breaking out this level. It should be just a natural sell-off ahead of the further rally up.