Forex Daily Outlook – February 4 2011

We end the week with some interesting events, Unemployment Rate  In the US, EU Economic Summit in Europe and more. .Let’s see what awaits us today.

In the US, Unemployment Rate, unemployed and actively seeking employment during the previous month is about to rise by 0.1%. Important signal of overall economic health because consumer spending is highly correlated with labor-market conditions.

Later in the US, Non-Farm Employment Change, employed people during the previous month, excluding the farming industry is about to rise by 30K. Job creation is an important leading indicator of consumer spending, which accounts for a majority of overall economic activity.

Finally in the US, Average Hourly Earnings, price businesses pay for labor, excluding the farming industry; is about to rise by 0.1%. It’s a leading indicator of consumer inflation.

In Canada, Unemployment Rate, unemployed and actively seeking employment during the previous month is due to remain 7.6%. Important since consumer spending is highly correlated with labor-market conditions.

More in Canada, Employment Chang, number of employed people during the previous month; is due to reduce by 3.1K. Accounts for a majority of overall economic activity.

Finally in Canada, Ivey Purchasing Managers’ Index (PMI); Survey of about 175 purchasing managers, selected geographically and by sector of activity to match the economy as a whole, to rate the relative level of business conditions. Indicates industry expansion with 53.7 points.

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

In Europe, European Union (EU), Economic Summit, Heads of state from European Union countries are due to meet about the euro and other economic issues, in Brussels.

Also in  Europe, Halifax House Price Index (HPI),, price of homes financed by Bank of Scotland (HBOS); is about to rise by 1%. It’s a leading indicator of the housing industry’s health because rising house prices attract investors and spur industry activity.

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

That’s it for today. Happy forex trading!