Forex Daily Outlook – April 21st 2009

Tuesday features lots of figures from around the world. Canadian interest rate,  German ZEW Economic Sentiment and British CPI will be in the limelight. Let’s see what’s up for today.

Australia starts the day with the  Monetary Policy Meeting Minutes. In its last decision, the RBA cut the rate by 0.25%, a compromise between mixed expectations. To clarify the economic policy,  RBA Governor Glenn Stevens will speak later.

In Europe, German PPI is expected to drop by 0.3% and show continuing deflation. The more important release from Germany is the  German ZEW Economic Sentiment, which is expected to turn positive, and stand at 1.8. Also the all-European  ZEW Economic Sentiment is expected to turn positive, at 1.0.

In Britain,  CPI is expected to show an annually adjusted rise of 2.9%. This is the first important figure in a crucial week for the Pound. Also note the  Retail Price Index (RPI) which is predicted to drop, and the Core CPI, expected to stand at 1.5%.

The Pound can later move by the words of  External BOE MPC Member Andrew Sentance and by  BOE Executive Director Paul Fisher. Both British seniors will speak during the day.

In Canada, interest rates are expected to be left unchanged. The BOC is expected to leave the  Overnight Rate at 0.5%. The accompanying  BOC Rate Statement will also be closely read by traders of the loonie.

Also in Canada:  Wholesale Sales are expected to turn positive, and rise by 1.3%, after falling last month by 4.2%.

Japan closes the day with its Trade Balance. Yet again, the export empire in the east is expected to show a deficit.

Happy Forex Trading!