A Busy Economic Calendar Puts the EUR, the GBP, and the Greenback in Focus
Earlier in the Day:
It was a relatively busy start to the day on the economic calendar this morning. Economic data from China was in focus early this morning. The RBA will also be in action later this morning.
From China
In December, the Caixin Manufacturing PMI rose from 49.9 to 50.9 versus a forecasted 50.0.
According to the December survey,
Firms reported the strongest increase in output for the year, supported by a pickup in total sales.
Foreign demand remained weak, however, as a result of the latest surge in new COVID-19 cases.
Backlogs increased once more amidst a fall in staffing levels.
Supplier performance improved, with inflationary pressures softening at the end of the year.
Business confidence waned, however, as a result of supply chain woes and the global pandemic.
The Aussie Dollar moved from $0.72006 to $0.72037 upon release of the stats, which preceded the RBA monetary policy decision. At the time of writing, the Aussie Dollar was up by 0.15% to $0.7201.
Elsewhere
At the time of writing, the Kiwi Dollar was up by 0.06% to $0.6789, while the Japanese Yen was down by 0.08% to ¥115.410 against the U.S Dollar.
The Day Ahead
For the EUR
It’s a busy day ahead on the economic calendar. German retail sales and French inflation figures are in focus going into the European open. Later in the morning, German unemployment figures are also due out.
With the new Omicron strain spreading across the Eurozone, expect plenty of interest in the unemployment and inflation figures. The German retail sales figures are for November, which won’t reflect the effects of the Omicron strain on consumption. Dire numbers would raise a red flag, however, over the effects of inflation on consumer spending.
At the time of writing, the EUR was up by 0.09% to $1.1307.
For the Pound
It’s a quiet day ahead on the economic calendar. Finalized manufacturing PMI figures for December are due out. Expect any revisions from prelim figures to influence.
At the time of writing, the Pound was up by 0.01% to $1.3481.
Across the Pond
The market’s preferred ISM Manufacturing PMI is due out along with JOLT’s job openings. Both sets of numbers will draw interest late in the day.
At the time of writing, the Dollar Spot Index was down by 0.03% to 96.184.
For the Loonie
It’s a quiet day ahead. RMPI numbers for November are due out later today. With little else for the markets to consider, expect the numbers to provide direction.
Ultimately, however, crude oil prices and market risk sentiment will remain the key drivers.
At the time of writing, the Loonie was down by 0.06% to C$1.2753 against the U.S Dollar.
For a look at all of today’s economic events, check out our economic calendar.
This article was originally posted on FX Empire