Jump in to know the key market events and trading ideas for this week!
Will the CAD rise on positive Ivey PMI?
Ivey PMI will be announced at 17:00 MT time on January 7.
175 purchasing managers selected geographically across Canada report their business activity each month to Ivey Business School. Ivey PMI is calculated based on these numbers. As businesses react quickly to the changes in market environment and financial outlooks, this indicator is a central tool to assess Canada’s economic health. A resulting value below 50 generally means economic contraction, which was the case in September and October. The November value, which was released on December 5, was 60. That was higher than market expectations and signaled an economic upswing. If a similar scenario takes place on January 7, the CAD may grow.
- If the indicator exceeds the market expectation, the CAD will gain strength.
- If the indicator underperforms, the CAD will fall.
The Canadian central bank will make a monetary policy report and announce interest rates on Wednesday, January 20, at 17:00 MT time. Also, the BOC press conference will be held later.
USD: all attention to Manufacturing PMI Instruments to trade: EUR/USD, USD/JPY, USD/CHF US ISM Manufacturing PMI will be out on January 4 at 17:00 MT time…
The market optimism waned amid stricter restrictions to control rising coronavirus infections. S&P 500 and Nasdaq dropped from the all-time highs, while the USD jumped higher.
S&P 500 skyrocketed to the all-time high on optimism that Biden’s fiscal stimulus will support economic growth and boost corporate earnings.
PMI reports from the EU, the UK, and the USA will be released during the day!