The week starts with CPI in Europe, American Empire State Manufacturing Index, TIC Long-Term Purchases (amidst serious debt fears) and a few other interesting economic releases. Let’s take a look…
British Rightmove HPI rose by 0.9%. This surprising rise in house prices isn’t common in Britain. GBP/USD now trades at 1.4070
In Europe, CPI is expected to rise at an annual rate of 1.2%. Core CPI is expected to rise by 1.6%. Prices are stable in Europe. EUR/USD now trades at 1.2938.
In the US, Empire State Manufacturing Index is expected to decline by “only” 31.5 points, after falling 34.7 points last time. Manufacturing is dropping fast in the US.
The main figure from the US today is the TIC Long-Term Purchases, which shows the money flow. It’s expected to stand at 44.3 billion, more than 34.8 billion last month.
More notable releases today are the Capacity Utilization Rate (71.1% expected) and Industrial Production, expected to decline by 1.2%, better than last month’s decline of 1.8%.
In the afternoon, ECB President Jean-Claude Trichet will speak.
To close the day, Japan will release the Tertiary Industry Activity, expected to fall by 0.5%, but also a lower figure won’t surprise investors. USD/JPY now trades at 98.20
That’s it for Monday. The rest of the week is much more intense. Check out the Forex weekly outlook.