DailyFX.com -
Talking Points:
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British Pound, US Dollar may prove noncommittal on PMI, ISM data
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Japanese Yen falls as sentiment firms in Asia, saps anti-risk demand
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Aussie Dollar outperforms as RBA dents rate cut speculation further
October’s UK manufacturing PMI survey headlines the data docket in European trading hours. Economic news-flow has softened relative to consensus forecasts over the past month, opening the door for the possibility of a downside surprise. Such an outcome may feed fears that cooling in wake of the Brexit referendum is beginning to emerge, weighing on the British Pound.
Later in the day, the analogous US ISM manufacturing report will enter the spotlight. The outcome may boost the US Dollar if the past two weeks’ cautious improvement in US data outcomes continues. Follow-through may prove limited for Sterling and the greenback however, with investors probably unwilling to commit to a strong directional bias as FOMC and BOE rate decisions loom ahead.
The Japanese Yen underperformed sentiment brightened in Asian trade, sapping demand for the anti-risk unit. Commodity-bloc FX followed regional shares upward, with the Australian Dollar leading the way after a somewhat upbeat RBA policy announcement dented rate cut chances further. Indeed, the currency surged alongside front-end bond yields after Governor Philip Lowe’s statement crossed the wires.
Are FX markets matching DailyFX analysts’ bets so far in Q4? See our forecast and find out!
Asia Session
| GMT | CCY | EVENT | ACT | EXP | PREV |
| 22:30 | AUD | AiG Perf of Mfg Index (OCT) | 50.9 | - | 49.8 |
| 22:30 | AUD | ANZ Roy Morgan Weekly Consumer Conf | 114.1 | - | 113.6 |
| 23:00 | AUD | CoreLogic House Px (MoM) (OCT) | 0.5% | - | 1.0% |
| 23:00 | NZD | QV House Prices (YoY) (OCT) | 12.7% | - | 14.3% |
| 0:30 | JPY | Nikkei Japan PMI Mfg (OCT F) | 51.4 | - | 51.7 |
| 1:00 | CNY | Manufacturing PMI (OCT) | 51.2 | 50.3 | 50.4 |
| 1:00 | CNY | Non-manufacturing PMI (OCT) | 54.0 | - | 53.7 |
| 1:45 | CNY | Caixin China PMI Mfg (OCT) | 51.2 | 50.1 | 50.1 |
| 2:55 | JPY | BOJ Policy Rate | -0.10% | -0.10% | -0.10% |
| 3:30 | AUD | RBA Cash Rate Target | 1.50% | 1.50% | 1.50% |
| 5:00 | JPY | Vehicle Sales (YoY) (OCT) | 0.8% | - | 3.7% |
| 5:30 | AUD | Commodity Index AUD (OCT) | 100.2 | - | 92.9 |
| 5:30 | AUD | Commodity Index SDR (YoY) (OCT) | 16.0% | - | 3.9% |
| 6:30 | JPY | BOJ’s Kuroda Holds Press Conference | - | - | - |
European Session
| GMT | CCY | EVENT | EXP/ACT | PREV | IMPACT |
| 8:15 | CHF | Retail Sales Real (YoY) (SEP) | -2.2% (A) | -3.0% | Low |
| 8:30 | CHF | PMI Manufacturing (OCT) | 54.7 (A) | 53.2 | Medium |
| 9:30 | GBP | Markit UK PMI Manufacturing SA (OCT) | 54.5 | 55.4 | Medium |
Critical Levels