The US dollar has managed to erase some of it’s losses towards the last day of trading. Today’s highlights are trade balance figures from a few countries. Let’s see what’s up for today:
German Final CPI dropped by 0.4%, withing expectations, signalling no inflationary pressures. The Trade Balance in Germany showed a smaller surplus this time – 10.6 billion. French Industrial Production rose by 1.8%, much better than expected. There’s still one more event in Europe – a speech by Jean-Claude Trichet, president of the ECB.
In Britain, PPI Input is epected to drop by 0.9%, following a nice rise of 2.2% last time. The Trade Balance will be published at the same time, and is expected to remain stable, at a deficit of 6.3 billion.Check out Casey Stubbs’ technical analysis for GBP/USD, where he talks about a double top.
Moving to North America, Canadian employment figures are due today. The Employment Change is expected to be positive once again, showing a growth of 5,000 jobs. The Unemployment Rate in Canada is predicted to edge up from 8.7% to 8.8%. Learning from the past, it could be better here.
Trade Balance in Canada is expected to show another month of deficit, this time of 900 million. At the same time, American Trade Balance is released and is expected to show the same big deficit of 32 billion.
Later in Canada, the BOC Business Outlook Survey is expected to give a broad overview of the Canadian economy. For more on the loonie, read the USD/CAD Outlook.
Apart from Trade Balance, two FOMC members will speak in the US: Dennis Lockhart and Donald Kohn.
That’s it for quite an exciting week in forex trading.