Happy Friday, traders! Are you ready to trade at the end of the week? Here’s what you need to know before you start:
Evergreen buck goes down ahead of major GDP reports
On Friday, the evergreen buck went down in Asia due to the fact that financial markets are waiting for the major first-quarter GDP data due later in the day.
Estimating the purchasing potential of the US dollar versus its main peers the USD index sank by 0.1% coming up with an outcome of 97.873.
The US Department of Labor informed that initial jobless claims went up by up to 37,000 to a seasonally updated 230,000 by April 21, confounding experts’ estimate for a leap to 199,000.
On Wednesday, the Commerce Department told that core durable goods orders headed north by 0.4% in March, beating analysts’ forecasts for a 0.2% jump.
Without airplanes, non-defense capital goods orders ascended by 1.3% in March, which is above hopes for a 0.1% ascend.
In addition to this, the currency pair USD/CNY headed south by nearly 0.1% coming up with a reading of 6.7346.
Market participants closely watch Chinese President Xi Jinping’s speech to be delivered at the Belt as well as Road Forum on Friday. The statesman is expected to tack about China’s exchange rate level.
China is going to ensure its national currency stay within rational range, although wouldn’t pursue Yuan depreciation, which harms others.
Eventually, the currency pair USD/JPY stood still, showing 111.61.
On Thursday, the Bank of Japan told it’s about to keep interest rates low enough until 2020. Moreover, the major monetary stimulus settings weren’t changed.
Japan’s major financial institution noted that it won’t meet its 2% inflation goal for the next three years.
Besides this, the currency pair EUR/USD rallied by up to 0.1% hitting 1.1134.
The currency pairs AUD/USD and NZD/UDS shot up by respectively 0.1% and 0.2%.
The first week of November promises to be eventful, as we have the Fed meeting, the BOE update, and the NFP release. Read more details here.
Last week several important economic updates influenced the Forex market. US preliminary GDP fell less than expected (0.6% actual vs. 0.7% forecast). Below you will find the key events to trade on during the week from August 29 to September 2.
This week may be the most important since the year started as the Fed assess the economic outlook and the US presents fresh NFP readings.
S&P Global, a private banking company, will release a monthly change in British Flash Manufacturing Purchasing Managers Index (PMI) on January 24, 11:30 GMT+2. The index is a leading indicator of economic health as businesses react quickly to market conditions, and purchasing managers hold the most current and relevant insight into the company's view of the economy.
The United States Bureau of Labor Statistics will publish the US Consumer Price Index (CPI) m/m on January 12 at 15:30 GMT+2. The index measures a change in the price of goods and services purchased by consumers.