Last week was very interesting for the markets, as we saw the releases of the US Inflation and Disney’s earnings report. So let's see what we should await this week!
How will the PMIs affect the EUR?
What will happen?
European Services and Manufacturing PMIs are published on May 21, 11:00 GMT+3.
Although not the primary set of indicators, these economic indices are first-hand information about the core of the European economy. PMIs are normally broken down in two sections in correspondence with two distinctive market sectors: the first is Services, and the second is Manufacturing that corresponds to the production of tangible goods.
How to trade the PMIs?
Technically, both Services and Manufacturing PMIs work similarly to most other economic indices with relation to the market: if the actual data is better than forecasts, the national currency rises. Otherwise, a dull report puts pressure on the currency and may cause a plunge.
- If actual figures exceed expectations, EUR may rise;
- If the actual PMIs are lower than the forecasts, the EUR may drop.
Instruments to trade: EUR/USD, EUR/JPY, EUR/CAD, EUR/AUD
The volatility that the markets experienced last week promises the second tidal wave! What should your favorite assets anticipate during the first week of February?
The US will reveal Non-farm payrolls on January 7, Friday, at 15:30 GMT+2 (MetaTrader time).
The US Bureau of Labor Statistics will announce average hourly earnings, nonfarm employment change (NFP), and the unemployment rate on July 8, at 15:30 MT time.
The Federal Open Market Committee, a committee within the Federal Reserve, will reveal a detailed record of the central bank’s last meeting on July 6 at 21:00 MT.
The Reserve Bank of Australia will announce its cash rate and make a statement about future rate policy on Tuesday, July 5, at 07:30 MT.