US unemployment claims and Canadian retail sales are the main market-movers. Let see what awaits us today.
In the US, Unemployment Claims registered another unexpected improvement last week with a drop of 14,000 claims from the previous week reaching 351,000. A minor rise to 353,000 is expected now.
More in the US, Ben Bernanke head of the Federal Reserve is scheduled to speak at the George Washington University School of Business, in Washington DC. His wards have a major impact on the market.
In Canada, Retail sales value dropped 0.2% in December, as predicted, due to lower auto sales and gas prices following 0.4% gain in November. Meanwhile core sales registered an unexpected flat reading in December following 0.4% increase in the prior month. Retail sales is expected to grow by 1.8% this time while Core sales is expected to rise 0.6%.
For more on USD/CAD, read the Canadian dollar forecast.
In Europe, Mario Draghi President of the ECB is expected to hold a Press conference at the European Systemic Risk Board Meeting, in Frankfurt where he may continue to support the LTRO policy.
More in Europe, French Flash Manufacturing and Services PMI surveys revealed a rise in French manufacturing output during January, reaching 50.2 from 50.0 in the previous month, while the Service sector output unexpectedly declined from52.3 in December to 50.3. Nevertheless both readings are above the 50 point line suggesting expansion. The manufacturing sector is expected to reach 50.5 while the service sector is expected to register a 50.6 reading.
Later in Europe, German Flash Manufacturing and Services PMI. German manufacturing sector contracted to 50.1 in January contrary to the 51.6 pts. predicted while the service sector dropped from 53.7 in December to 52.6 while expected a rise to 53.8. The manufacturing sector is expected to expand to 51.1 and the service sector is anticipated to reach 53.1.
furthermore Europe, the Euro zone Flash Manufacturing and Services PMI. The manufacturing sector increased less than predicted in January reaching 49.0 from 48.8 in December while the service sector dropped from50.0 in December to 49.4 in January. Both results suggest contraction in the Euro zone but are very near the 50 point line. The manufacturing sector is predicted to rise to 49.6 and the service sector forecast to reach 49.3.
Belgium NBB Business Climate improved more than predicted in January reaching -7.7 from-9.5 in December. A further improvement to -6.3 is anticipated.
Finally in Europe, Industrial New Orders measuring the value of new standing orders gained 1.9% in December while expected a smaller increase of 0.6% after a 1.1% decline in November. A drop of 2.0% is expected now.
For more on the Euro, read the Euro to dollar forecast.
In Great Britain, Retail sales value increased in January by 0.9% contrary to a predicted drop of 0.3% and following 0.6% gain in December. This time a drop of 0.5% is anticipated.
Read more about the Pound in the GBP/USD forecast.
In Switzerland, Trade Balance surplus unexpectedly narrowed to 1.55 billion in February following 2.01 billion in January. The drop was more than anticipated. This time trade balance surplus is expected to grow to 1.97 billion.
Read more about the Swiss franc in the USD/CHF forecast.
That’s it for today.
Happy forex trading!
Get the 5 most predictable currency pairs