Weekly Market Analysis ( Aug 02 – Aug 06): Know How News Impacted Your Currency

August 02

ISM Manufacturing PMI (USD)

Pair Projection What is this news about?
USD/CAD, EUR/USD, USD/CHF, GBP/USD, NZD/USD, AUD/USD, USD/JPY Sudden upsurge from this time onwards can be seen on USD charts. It's a leading indicator of economic health - businesses react quickly to market conditions, and their purchasing managers hold perhaps the most current and relevant insight into the company's view of the economy;

German Final Manufacturing PMI (Euro Zone)

Pair Projection What is this news about?
EURUSD, EURJPY, EURGBP, EURCAD, EURAUD, EURNZD, EURCHF EURXXX can get volatile around this time. Stay careful. It's a leading indicator of economic health - businesses react quickly to market conditions, and their purchasing managers hold perhaps the most current and relevant insight into the company's view of the economy;

Final Manufacturing PMI (Japan)

Pair Projection What is this news about?
USDJPY, EURJPY, CADJPY, AUDJPY, GBPJPY, CHFJPY, NZDJPY JPY is expected to be volatile around the mentioned time. It's a leading indicator of economic health - businesses react quickly to market conditions, and their purchasing managers hold perhaps the most current and relevant insight into the company's view of the economy;

August 03

RBA Rate Statement (Australia)

Pair Projection What is this news about?
AUDCAD, AUDUSD, EURAUD, GBPAUD, AUDNZD, AUDJPY, AUDCHF High volatility from AUDXXX and XXXAUD is expected. Be careful around this time. It's among the primary tools the RBA Reserve Bank Board uses to communicate with investors about monetary policy. It contains the outcome of their decision on interest rates and commentary about the economic conditions that influenced their decision. Most importantly, it discusses the economic outlook and offers clues on the outcome of future decisions;

Cash Rate (Australia)

Pair Projection What is this news about?
AUDCAD, AUDUSD, EURAUD, GBPAUD, AUDNZD, AUDJPY, AUDCHF The rate decision is usually priced into the market, so it tends to be overshadowed by the RBA Rate Statement. AUD will keep being volatile from the first news's impact. Short term interest rates are the paramount factor in currency valuation - traders look at most other indicators merely to predict how rates will change in the future;

Spanish Unemployment Change (EUR)

Pair Projection What is this news about?
EURUSD, EURJPY, EURGBP, EURCAD, EURAUD, EURNZD, EURCHF Unemployment report of Spain may or may not cause in impact depending on the number of unemployment, prices of EUR can get slighly weaker or stronger. Although it's generally viewed as a lagging indicator, the number of unemployed people is an important signal of overall economic health because consumer spending is highly correlated with labor-market conditions;

August 04

Employment Change q/q (New Zealand)

Pair Projection What is this news about?
ALL NZDXXX & XXXNZD PAIRS. Prices of NZD is highly likely to be volatile. Job creation is an important leading indicator of consumer spending, which accounts for a majority of overall economic activity;

ADP Non-Farm Employment Change (USA)

Pair Projection What is this news about?
USD/CAD, EUR/USD, USD/CHF,GBP/USD, NZD/USD, AUD/USD, USD/JPY Prices of USD and affiliated currencies will get volatile. Brace yourselves for the NFP This data provides an early look at employment growth, usually 2 days ahead of the government-released employment data that it's designed to mimic. Source changed series calculation formula in Feb 2007, Dec 2008, and Nov 2012, to better align with government data;

ISM Services PMI (USA)

Pair Projection What is this news about?
USD/CAD, EUR/USD, USD/CHF,GBP/USD, NZD/USD, AUD/USD, USD/JPY Very high impacts news and likely to continue the volatility of NFP on USD charts. It's a leading indicator of economic health - businesses react quickly to market conditions, and their purchasing managers hold perhaps the most current and relevant insight into the company's view of the economy;

August 05

Asset Purchase Facility (UK)

Pair Projection What is this news about?
GBPUSD, GBPJPY, GBPCAD, GBPAUD, GBPNZD, GBPCHF, EURGBP, Very high impact news! GBP might get very volatile around this time. MPC members vote on the total amount of money to create for the program. The individual votes are published 2 weeks later in the MPC Meeting Minutes;

MPC Asset Purchase Facility Votes (UK)

Pair Projection What is this news about?
GBPUSD, GBPJPY, GBPCAD, GBPAUD, GBPNZD, GBPCHF, EURGBP, There are several other high impact news for GBP on GMT 17:00. GBP will get very volatile, The BOE's MPC meeting minutes contain the asset purchase vote for each MPC member during the most recent meeting. The breakdown of votes provides insight into which members are changing their stance on asset purchases and how close the committee is to enacting a change in future purchases;

Net Lending to Individuals m/m (UK)

Pair Projection What is this news about?
GBPUSD, GBPJPY, GBPCAD, GBPAUD, GBPNZD, GBPCHF, EURGBP, Not that great of an impact is anticipated but keep an eye on the chart of GBP around this time. It's correlated with consumer spending and confidence - rising debt levels are a sign that lenders feel comfortable issuing loans, and that consumers are confident in their financial position and eager to spend money;

August 06

RBA Gov Lowe Speaks (Australia)

Pair Projection What is this news about?
AUDCAD, AUDUSD, EURAUD, GBPAUD, AUDNZD, AUDJPY, AUDCHF Depending on the outcome of the speech AUD can move either way. As head of the central bank, which controls short term interest rates, he has more influence over the nation's currency value than any other person. Traders scrutinize his public engagements as they are often used to drop subtle clues regarding future monetary policy;

MPC Member Broadbent Speaks (UK)

Pair Projection What is this news about?
GBPUSD, GBPJPY, GBPCAD, GBPAUD, GBPNZD, GBPCHF, EURGBP, GBP can get volatile prior or after his speech. Keep a close eye on the GBP charts. BOE MPC members vote on where to set the nation's key interest rates and their public engagements are often used to drop subtle clues regarding future monetary policy;

Non-Farm Employment Change (USD)

Pair Projection What is this news about?
USD/CAD, EUR/USD, USD/CHF,GBP/USD, NZD/USD, AUD/USD, USD/JPY USD might have a downs urge but it mostly deepens on the actual outcome of this news! Keep an eye on the chart! Job creation is an important leading indicator of consumer spending, which accounts for a majority of overall economic activity;

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