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Fed Chairman Bernanke Testifies in the US, Inflation Report Hearings in the UK and much more on today’s outlook. Let’s see what awaits us today.

In the US, Federal Reserve Chairman Ben Bernanke, due to testify on the semi-annual monetary policy report before the Senate Banking Committee, in Washington DC. As head of the central bank, he   controls short term interest rates and influence the nation’s currency value.

Later in the US, The Institute for Supply Management (ISM) Manufacturing Purchasing Managers’ Index (PMI), Survey of about 400 purchasing managers to rate the relative level of business conditions. indicates industry expansion with 60.9 points.

In Canada, Bank of Canada (BOC) Rate Statement, primary tool the BOC uses to communicate with investors about monetary policy. It contains the outcome of their decision on interest rates and commentary about the economic conditions that influenced their decision. Most importantly, it discusses the economic outlook and offers clues on the outcome of future decisions.

More in Canada, Overnight Rate shows no change and stay on 1%. Short term interest rates are the paramount factor in currency valuation

For more on USD/CAD, read the  Canadian dollar forecast.

In Europe, Unemployment Rate, unemployed and actively seeking employment during the previous month is about to remain 10% like on the previous month.

Also in  Europe, German Unemployment Change, unemployed people during the previous month, important signal of overall economic health and about to remain -13K.

Finally in Europe, Consumer Price Index (CPI) Flash Estimate, price of goods and services purchased by consumers; is about to rise by 0.1% and account for a majority of overall inflation.

For more on the Euro, read the  EUR/USD forecast

In Great Britain, Manufacturing Purchasing Managers’ Index (PMI); Survey of about 600 purchasing managers to rate the relative level of business conditions, indicates industry expansion with 61.5.

More in Great Britain, Nationwide House Price Index (HPI); price of homes with mortgages backed by Nationwide; is about to reduce by 0.1%. UK’s second earliest report on housing inflation. rising house prices attract investors and spur industry activity.

Later in Great Britain, Inflation Report Hearings, BOE MPC members vote on where to set the nation’s key interest rates and their public engagements are often used to drop subtle clues regarding future monetary policy.

Finally in Britain, Net Lending to Individuals, is about to rise by 0.4B and correlated with consumer spending and confidence.

Read more about the Pound in the  GBP/USD forecast.

In Switzerland, Gross Domestic Product (GDP), broadest measure of economic activity and the primary gauge of the economy’s health; is about to reduce by 0.2%.

More in Switzerland, Schweizerischer Verband fur Materialwirtschaft und Einkauf (SVME), Purchasing Managers’ Index (PMI), Survey of about 200 purchasing managers to rate the relative level of business conditions. Indicates industry expansion with 60.8 points.

In Australia, Reserve Bank of Australia (RBA) Rate Statement, among the primary tools the RBA Reserve Bank Board uses to communicate with investors about monetary policy.

More in Australia, Cash Rate, the Interest rate for overnight money market deposits is due to remain 4.75% like on the previous month.

Finally in Australia, Commodity Prices, selling price of exported commodities is forcasted to 47.8%. leading indicator of the nation’s trade balance with other countries because rising commodity prices boost export income;

For more on the Aussie, read the  AUD/USD forecast.

That’s it for today. Happy forex trading!