Forex Daily Outlook – May 20th 2009

Wednesday features a nice bunch of releases: British Meeting Minutes, Canadian CPI and the FOMC’s Meeting Minutes will dominate today’s trading. And there’s more…

In Australia, Westpac Consumer Sentiment is a good indicator for the economy. It went up by 8.3% last time. Will it continue rising? Also in Australia, Wage Price Index is expected to continue rising, this time by 0.8%.

In Europe, German PPI is expected to signal deflation and fall by 0.2%. If this happens, it’ll at least be less than last time.

British MPC Meeting Minutes are due today. They’ll explain what was behind the expansion of the Quantitative Easing plan. Read more on the how the Pound can move higher this week. Also in Britain, CBI Industrial Order Expectations are predicted to be negative, at -50.

In Switzerland, ZEW Economic Expectations will be released. The “Zentrum fur Europaische Wirtschaftsforschung” will move the Swissy.

In Canada, CPI is expected to rise by 0.2%, exactly like last month, while Core CPI is expected to move upwards by only 0.1%. Read more on this important week for the loonie. Also not the Crude Oil Inventories in the US, which has a direct impact on the USD/CAD.

In the US, Treasury Secretary Timothy Geithner will testify at the Senate. He might slip something out…

Later in the US, the FOMC Meeting Minutes might shed some light on the Federal Reserve’s hope for recovery. I still claim that the road to recovery is narrow.

Just before midnight GMT, Tertiary Industry Activity will be published in Japan. In the land of the rising sun, there are still too many clouds. It’s expected to fall by 1.5%.

Happy Forex Trading!