We have Chinese data to start the day, and then another bunch of American figures to rock the markets. Let’s see what’s up for today.
The dollar has been losing ground across the board, but it’s not alone – also the yen suffers from risk appetite behavior. Yen crosses, including GBP/JPY are on the rise. Le’ts see the events:
The Aussie, which is advancing higher, will receive interesting figures from Australia and abroad. The MI Inflation Expectations will probably follow last month’s result of a 3.2%. Later, many numbers will flow from China. The GDP is the most important one.
Chinese GDP is predicted to rise at an annual rate of 11.8% in the first quarter of 2010, stronger than 10.7% in the previous quarter. China is Australia’s main trade partner.
For more on the Aussie, read the AUD/USD forecast.
In Europe, the ECB Monthly Bulletin will shed some light on the overall situation of the European economies. The Euro continues to ride on the Greek hopes.
Another day of many American figures
Unemployment Claims are expected to correct last week’s jump to 460K and get back to the level seen two weeks ago – 439K. This will indicate the Non-Farm Payrolls.
The Empire State Manufacturing Index is expected to advance from 22.9 to 24 points. The Philly Fed Manufacturing Index is very similar, but tends to have a stronger impact on the markets – it’s predicted to edge up from 18.9 to 20 points.
TIC Long-Term Purchases, which represent the flow of money into the US, are expected to double this month from 19.1 to 39.2 billion, indicating growing confidence in the US economy.
Also in the US: the NAHB Housing Market Index will probably tick up from 15 to 16 points. Also note a speech from James Bullard, which can move the markets after the London session.
Another speech is due late in the day: SNB Governing Board Vice-Chairman Thomas Jordan can comment about future intervention policy and shake USD/CHF.
That’s it for today. Happy forex trading!
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