Forex trading began with a stronger dollar this week. European Industrial Production is the highlight of this rather calm day. Let’s see what’s on the menu today.
The late dollar comeback that began late on Friday continues today. While the British Pound and the New Zealand dollar suffer, the Swissy and the Yen are weathering this strength.
In New Zealand, Retail Sales disappointed with a fall of 0.5%. A rise in the same scale was expected. Also Core Retail Sales were expected to post a nice rise but fell by 0.5% instead.
Swiss PPI met expectations and rose by 0.1%. This is the first rise in a long long time, and it helps the Swissy not to get carried away by the dollar’s strength.
For more on the Swiss Franc, read the USD/CHF Outlook.
In Europe, Industrial Production fell by 0.3%, exactly like last month and within expectations. Last month’s figure was revised upwards.
For more on the Euro’s week, check out the EUR/USD Outlook.
In Canada, Capacity Utilization Rate is expected to decline to 66%, from 69.3%. For more on the Canadian dollar, read the USD/CAD Outlook.
In the US, there are many speeches due today, but no economic indicators released: FOMC members Elizabeth Duke, Jeffrey Lacker and Janet Yellen will all speak in conferences.
President Barack Obama will speak about the financial crisis and might move the markets.
At night, RICS House Price Balance will be published in Britain and might help the Pound, which is falling now. For more on GBP/USD read the British Pound Outlook.
That’s it for today. Check out the Forex Weekly Outlook for the major events during the rest of the week.