Forex Daily Outlook September 7 2012
Daily Look

Forex Daily Outlook September 7 2012

We end this week with the important US NFP release, US unemployment rate, Canadian employment data as the major events of the day. Here is an outlook on the market-movers awaiting us.

In the US, Non-Farm Employment Change soared in July adding 163,000 jobs excluding the farming industry beating predictions for a 101,000 increase and following64,000 in the preceding month. A smaller rise of 121,000 is expected this time.

Later in the US, Unemployment Rate increased to 8.3% in July following 8.2% in the previous month. Economists expected the rate to remain 8.2%. No change is expected now.

More in the US, Average Hourly Earnings increased less than predicted by 0.1% in July following 0.3% rise in June. A 0.2% gain is expected this time.

In Canada, Building Permits value in June dropped 2.5% following a 7.1% leap in the previous month. Analysts expected a bigger drop of 3.5%. A further decline of 1.5% is anticipated now.

Later in Canada, employment data Canadian job market contracted sharply in July by a 30,400 positions following a 7,300 gain in June. The reading beat expectations for a 9,600 rise. An increase of 9,900 jobs is expected this time.  Meantime Unemployment rate increased to 7.3% due to the sudden job contraction following 7.2% in June. The same figure is expected this time.

More in Canada Mark Carney speaks. BOC Governor Mark Carney will speak in Calgary. His words can create volatility in the market.

Further in Canada Labor Productivity edged up 0.1% in the first quarter after rising 0.7% in the two previous quarters. A 0.2% increase is expected now.

Finally in Canada  Ivey PMI jumped to 62.8 in July, well above predictions of a 52.0 reading, following 49.0 score in the preceiding month, indicating expansion in the Canadian market.A further increase to 64.5 is predicted now.

For more on USD/CAD, read the  Canadian dollar forecast.

In Europe, German Industrial Production. The total value of German manufactured goods dropped0.9% in June following 1.7% jump in May. the reading was worse than th e0.8% drop predicted by analysts. A rise of 0.1% is forecasted now.

For more on the Euro, read the  Euro to dollar forecast.

In Great Britain, Manufacturing Production plunged 2.9% in June less than the 4.0% drop forecasted by analysts, following 1.2% increase in the preceding month. An increase of 2.1% is expected this time.

Later in Great Britain, PPI Input. Price of goods manufactured in the UK edged up 1.3% in July following 2.9% decline in June, broadly within expectations. Another rise of 1.9% is predicted now.

More in Great Britain, Consumer Inflation Expectations. UK Consumers expected inflation to reach 3.7% in a year’s time following 3.5% predicted in the previous survey conducted in April.

Further in Great Britain NIESR GDP Estimate. The National Institute of Economic and Social Research GDP forecast fore July showed a 0.2% contraction following a 0.7% decline in June.

Finally in Great Britain Spencer Dale. BOE Chief Economist Spencer Dale will speak in Dublin. His speech an offer clues regarding future monetary policy.


Read more about the Pound in the  GBP/USD forecast.

In Switzerland, Foreign Currency Reserves edged up to 406.5 billion in July above the 365.1 billion posted in the previous month. Another rise to 408.6 billion is forecasted.

Read more about the Swiss franc in the USD/CHF forecast.

In Australia, Trade Balance flipped to a surplus of 0.01 billion in June following a 0.31 billion deficit in May contrary to predictions of a 0.36 billion deficit. A deficit of 0.30 billion is expected this time.

For more on the Aussie, read the  AUD/USD forecast.

Trade well

Anat Dror

Anat Dror

Anat Dror Senior Writer I conceptualize, design and create multi-lingual websites. Apart from the technical work, my projects usually consist of writing content for these sites in English, French and Hebrew. In the past, I have built, managed and marketed an e-learning center for language studies, including moderating a live community of students. I've also worked as a community organizer