Forex Daily Outlook – July 6 2010
Daily Look

Forex Daily Outlook – July 6 2010

US ISM Non-Manufacturing PMI, Canada, Building Permits, Swiss CPI and Australian rate decision are the major events on our menu. Here is an outlook for today’s events.

In the US, ISM Non-Manufacturing PMI a leading indicator of economic conditions in the services industries: agriculture, mining, construction, transportation, communications, wholesale trade and retail trade, The ISM Non-Manufacturing Index could provide further evidence of a U.S. economic slowdown with activity in the services industries pulling back to 55.2 from a previous reading of 55.4.

In Canada, Building Permits are likely to drop to -1.3% following the remarkable rise in the past two months.

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

In Great Britain, Halifax HPI : Following the 0.4% slide in May and 0.1% in April, a house prices increase of 0.6% is expected.

More in Great Britain, BRC Shop Price Index Overall shop price inflation slowed to 1.8% in May from 2.0% in April. A similar figure is expected now.

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

In Switzerland, CHF- Swiss Consumer Price Index, the main measure of inflation.
The Swiss National Bank recently announced that deflation is no longer a threat to the economy and the report may confirm that view with the inflation gauge rising by 0.1% m/m compared with a 0.1% m/m decline in May.

In Australia, AUD- Reserve Bank of Australia Interest Rate Announcement, likely to keep interest rates unchanged for another month on signs of global and domestic economic slowdown.  Therefore, Australian rate decision will probably remain 4.5%, so the focus will be on the rate statement – hints for future moves.

Also in Australia, Trade Balance expected to further increase trade surplus from 0.13B in May, to 0.53B.

Finally in Australia, AIG Construction Index measuring the level of a diffusion index based on surveyed construction companies rated 53.2 in May.

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

In Japan, Leading Indicators measuring the level of a composite index based on 12 economic indicators is expected to drop to 99.7% from 101.7% in May

That’s it for today. Happy forex trading!

Want to see what other traders are doing in real accounts? Check out Currensee. It’s free.

Anat Dror

Anat Dror

Anat Dror Senior Writer I conceptualize, design and create multi-lingual websites. Apart from the technical work, my projects usually consist of writing content for these sites in English, French and Hebrew. In the past, I have built, managed and marketed an e-learning center for language studies, including moderating a live community of students. I've also worked as a community organizer