Weekly Market Analysis (July 26 – July 30): Know How News Impacted Your Currency

July 26

German ifo Business Climate (Euro Zone)

Pair Projection What is this news about?
EURUSD, EURJPY, EURGBP, EURCAD, EURAUD, EURNZD, EURCHF There might be a sudden volatility in EURXXX pairs. This survey is highly respected due to its large sample size and historic correlation with German and wider Eurozone economic conditions. It tends to create a hefty market impact upon release. Source changed series from a base year of 2000 to a base year of 2005, as of May 2011, and changed series to include services, as of Apr 2018;

MPC Member Vlieghe Speaks (GBP)

Pair Projection What is this news about?
GBPUSD, GBPJPY, GBPCAD, GBPAUD, GBPNZD, GBPCHF, EURGBP, Keep an eye on the actual outcome of this event! GBPXXX might move according to it! 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;

New Home Sales

Pair Projection What is this news about?
USD/CAD, EUR/USD, USD/CHF,GBP/USD, NZD/USD, AUD/USD, USD/JPY This might not have that much of an impact on USDXXX pairs,

July 27

BOJ Gov Kuroda Speaks (Japan)

Pair Projection What is this news about?
USDJPY, EURJPY, CADJPY, AUDJPY, GBPJPY, CHFJPY, NZDJPY Volatility is often experienced during his speeches as traders attempt to decipher interest rate clues; JPY is anticipated to get volatile. As head of the central bank, which controls short term interest rates, he has important influence over the nation's currency value. Traders scrutinize his speeches as they are often used to drop subtle clues regarding future monetary policy and interest rate shifts;

RBA Deputy Gov Debelle Speaks (Australia)

Pair Projection What is this news about?
AUDCAD, AUDUSD, EURAUD, GBPAUD, AUDNZD, AUDJPY, AUDCHF Depending on the outcome of his speech AUD will response accordingly. He's responsible for advising Reserve Bank Board members - who decide where to set the nation's key interest rates - on matters relating to economics, and his public engagements are often used to drop subtle clues regarding future policy shifts;

CB Consumer Confidence (USA)

Pair Projection What is this news about?
USD/CAD, EUR/USD, USD/CHF, GBP/USD, NZD/USD, AUD/USD, USD/JPY According to the forecast minor downsurge is expected from USD but it is too vague yet. Keep and eye on the actual outcome. USD will definetly move accrodingly. Survey of about 3,000 households which asks respondents to rate the relative level of current and future economic conditions including labor availability, business conditions, and overall economic situation;

July 28

CPI q/q (Australia)

Pair Projection What is this news about?
AUDCAD, AUDUSD, EURAUD, GBPAUD, AUDNZD, AUDJPY, AUDCHF AUD is expected to grow a little stronger or depending on the actual data it can get severyly volatile. Consumer prices account for a majority of overall inflation. Inflation is important to currency valuation because rising prices lead the central bank to raise interest rates out of respect for their inflation containment mandate;

CPI m/m (Canada)

Pair Projection What is this news about?
USDCAD, EURCAD, CADJPY, NZDCAD, CADCHF, AUDCAD, GBPCAD A trend reversal is expected and the chart might get volatile during the mentioned time on CADXXX charts. Consumer prices account for a majority of overall inflation. Inflation is important to currency valuation because rising prices lead the central bank to raise interest rates out of respect for their inflation containment mandate;

Crude Oil Inventories (USA)

Pair Projection What is this news about?
USD/CAD, EUR/USD, USD/CHF, GBP/USD, NZD/USD, AUD/USD, USD/JPY USOIL, and USDXXX can go either way depending on the actual outcome of the news. Keep an eye on it. It's the primary gauge of supply and demand imbalances in the market, which can lead to changes in production levels and price volatility;

July 29

FOMC Statement (USA)

Pair Projection What is this news about?
USD/CAD, EUR/USD, USD/CHF, GBP/USD, NZD/USD, AUD/USD, USD/JPY One of the highly anticipated events of each month by traders of all kind. Stay alert o USDXXX charts. It's the primary tool the FOMC uses to communicate with investors about monetary policy. It contains the outcome of their vote on interest rates and other policy measures, along with commentary about the economic conditions that influenced their votes. Most importantly, it discusses the economic outlook and offers clues on the outcome of future votes;

Advance GDP q/q (USA)

Pair Projection What is this news about?
USD/CAD, EUR/USD, USD/CHF, GBP/USD, NZD/USD, AUD/USD, USD/JPY This will continue the volatility cause by FOMC news on USD and other affiliated currencies. While this is q/q data, it's reported in an annualized format (quarterly change x4). There are 3 versions of GDP released a month apart – Advance, Preliminary, and Final. The Advance release is the earliest and thus tends to have the most impact;

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;

July 30

German Prelim GDP q/q (Euro Zone)

Pair Projection What is this news about?
EURUSD, EURJPY, EURGBP, EURCAD, EURAUD, EURNZD, EURCHF It's quite impactful on the EURXXX pairs. Lookout around the mentioned time. There are 2 versions of GDP released about 10 days apart - Preliminary and Final. The Preliminary release is the earliest and thus tends to have the most impact;

GDP m/m (Canada)

Pair Projection What is this news about?
USDCAD, EURCAD, CADJPY, NZDCAD, CADCHF, AUDCAD, GBPCAD CADXXX pairs will get volatile around this hour. The direction of the trend may also get changed depending on the severity of the actual outcome of the event. It's the broadest measure of economic activity and the primary gauge of the economy's health;

Core PCE Price Index m/m (USA)

Pair Projection What is this news about?
USD/CAD, EUR/USD, USD/CHF, GBP/USD, NZD/USD, AUD/USD, USD/JPY Sudden upsurge is expected from USD charts around the mentioned time. Differs from Core CPI in that it only measures goods and services targeted towards and consumed by individuals. Prices are weighted according to total expenditure per item which gives important insights into consumer spending behavior. This is rumored to be the Federal Reserve's favorite inflation measure, but CPI is released about 10 days earlier and tends to garner most of the attention;

Leave a Reply

1 + four =