Forex Daily Outlook – March 16 2011

Very interesting day ahead of us, Building Permits in the US,  BOE Gov King Speaks in the in Beijing and much more .Let’s see what awaits us today.

In the US, Building Permits issued during the previous month; is about to be 0.58M, similar to the previous month. Excellent gauge of future construction activity because obtaining a permit is among the first steps in constructing a new building.

Later in the US, Producer Price Index (PPI), price of finished goods and services sold by producers; is due to decrease by 0.1%, while the Core PPI (excluding food and energy) is due to reduce by 0.3%. Leading indicator of consumer inflation.

Later on in the US, Current Account, It’s directly linked to currency demand is about to rise by 16B. Rising surplus indicates that foreigners are buying more of the domestic currency to execute transactions in the country.

More in the US, Housing Starts, buildings that began construction during the previous month; due to remain 0.58B. Leading indicator of economic health because building construction produces a wide-reaching ripple effect.

Finally in the US, Crude Oil Inventories, barrels held in inventory by commercial firms during the past week; are due to be 2.5M. Affects inflation, but also impacts growth as many industries rely on oil to produce goods.

In Canada, Manufacturing Sales, total value of sales made by manufacturers is about to rise by 1.1%. manufacturers are quickly affected by market conditions, and changes in their sales can be an early signal of future activity such as spending, hiring, and investment;

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

In Europe, Consumer Price Index (CPI) Consumer prices account for a majority of overall inflation is about to remain 2.4%. as so the Core CPI (excluding food, energy, alcohol, and tobacco) is due to remain 1.1%.

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

In Great Britain, BOE Governor Mervyn King, Due to speak at the Central Party School, in Beijing

More in Great Britain, Claimant Count Change, people claiming unemployment-related benefits during the previous month; is about to reduce by 1.2K.

Later in Great Britain, Average Earnings Index, price businesses and the government pay for labor, including bonuses; is about to rise by 0.4%.

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

In Switzerland, Zentrum fur Europaische Wirtschaftsforschung (ZEW) Economic Expectations, Survey of institutional investors and analysts to rate the relative 6-month economic outlook for Switzerland, indicates pessimism with -17.2 points.

In Japan, BOJ Monthly Report, It contains the statistical data that the BOJ Policy Board members evaluated when making the latest interest rate decision, and provides detailed analysis of current and future economic conditions from the bank’s viewpoint;

That’s it for today. Happy forex trading!