The United States will release the weekly Unemployment Claims on October 21, at 15:30 MT time (GMT+3).
5 important things this week will bring us!
- British Inflation report hearings (Tue, 12:00 MT (10:00 GMT)) – the Bank of England Governor Mark Carney will testify on the current economic outlook and inflation. The hawkish hints may be supportive for the British pound.
- Testimony by the Fed Chair Jerome Powell (Tue, 17:00 MT (15:00 GMT)) – The Fed Chair will testify on the Semiannual monetary policy report. His comments and answers during the q&a may bring volatility to the USD.
- Canadian CPI m/m (Wed, 15:30 MT (13:30 GMT)) – According to forecasts, the consumer inflation will advance by 0.2%. If the actual figures are higher, the Canadian dollar will rise.
- US Advance GDP q/q (Thu, 15:30 MT (13:30 GMT)) – Analysts expect the indicator to reach 2.6%. Higher-than-expected data will boost the greenback
- Speech by the Fed Chair Jerome Powell (3:15 MT (1:15 GMT)) – the Fed Chair plans to make a speech on the topic “Recent Economic Developments and Longer-Term Challenges”. Let’s wait and find out how his comments will affect the USD.
- Theresa May postponed the Brexit vote scheduled for this week again. Now the next meaningful vote is set on March 12. That’s just two weeks before the final deadline on March 29. Reportedly, the government plans to delay Brexit for two weeks, if the British Prime Minister Theresa May cannot secure a deal by the meaningful vote. As for the EU side, the EU authorities suggest extending Brexit until 2021.
- During the early Asian trading session, US President Donald Trump announced his plans to postpone tariff hikes on China. It resulted in a great risk-on sentiment. The next focus for the trade truce now is on the meeting between Mr. Trump and Mr. Jinping during the 3rd or the 4th week of March.
The Fed is ready to start tapering in November. Since the markets were expecting this and it wasn’t a surprise, the USD slumped allowing risk-on currencies and gold to rally up.
US Retail Sales will be out on October 15 at 15:30 MetaTrader time (GMT+3).
Last week was full of surprises! Stock indices have shown significant growth…
The US dollar is heading to close the seventh day in the red as it remains under selling pressure. The US data at 15:30 GMT+3 (jobless claims and Philly Fed Manufacturing Index) may support the greenback if it's strong.
Canada will publish the Retail Sales and Core Retail Sales on October 22, at 15:30 MT time (GMT+3).