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!
The GBP needs support
What will happen?
UK will publish the unemployment rate on Tuesday, February 23, at 09:00 MT time. In normal times, it would be a second-priority indicator for Britain. But as the country is going through the deepest crisis since the XVIII century seeing a 10% contraction of its GDP, the state unemployment rate becomes a highly important dynamic to watch.
How to trade it?
Now that the traders are well aware that things are not that good for the UK at the moment, they will be looking for the slightest hints in any economic data that the outlook may be not as dire as the media are suggesting. The previous mark was 5% - just under the expected 5.1%. This time, 5.2% is the forecast, and if the actual figure is the same or greater than the expectation, it may infuse even more pessimism into the audience.
- Better-than-expected data supports the GBP;
- Worse-than-expected data puts pressure on the GBP.
Instruments to trade: GBP/USD; EUR/GBP; GBP/CHF; GBP/JPY
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.