The ECB Monetary Policy Meeting Accounts will be released at 14:30 MT on January 16
Germany maintains huge surplus with America notwithstanding trade clashes
In the first year of 2018, Germany's exports to America accounted for 24.4 billion euros. It’s more than Germany’s imports of American products. That’s what the Federal Statistics Office disclosed on Friday.
The trade surplus amounted to 100 million euros, which is less than in 2017. However, it means that Germany boasts the largest trade surplus with America than any other state, although US leader wants to have it reversed.
Moreover, the European country’s trade surplus has also been mocked by the IMF that told that it actually contributes to trade clashes and increases risks, thus undermining global financial stability.
The trade surplus of Germany with the entire world accounted for 121.5 billion euros in the first half of 2018. It’s a bit higher than in 2017.
The International Monetary Fund asked the German authorities to spur investments beyond the level officially agreed by Chancellor Angela Merkel's cabinet that plans to lift spending by 4% in 2018. Eventually, higher government allocation would drive imports.
US leader hit Canada, Mexico and the European block with duties of 25% on steel as well as 10% on aluminum in the beginning of June, terminating exemptions, which had been imposed in March. Canada and also the European Union fought back with their own tariffs on American products.
China imposed duties on American products responding to Trump’s duties on China’s products, puzzling German producers used to relying on the world’s two major economies for surge.
Worries of a full-fledged trade feud between the European Union and America receded after the previous month US leader agreed to stay away from slapping duties on vehicles imported from the European Union while the two sides discuss cuts to other trade obstacles.
For the first six months of 2018, Germany's exports to America rallied by 0.8% hitting 56.1 billion euros.
We expect the US-China phase one trade deal to be signed on Wednesday and multiple important indicators for the USD. Plus, it is the first week of the earnings reports
The British yearly CPI will be released at 11:30 MT on January 15
The Bank of Canada (BOC) will release its rate statement alongside the monetary policy report during its meeting on January 22 at 17:00 MT time.
Events in Libya pushed the oil price up. So what's the strategy to benefit from it?
This week will bring us central bank statements and important economic indicators related to the main currency pairs. Read on to see which ones will be affected.