On the Macro
It’s a busy week ahead on the economic calendar, with 63 stats in focus in the week ending 21st January. In the week prior, 44 stats had been in focus.
For the Dollar:
Key stats include Philly FED Manufacturing and initial jobless claims due out on Thursday.
Other stats include NY Empire State Manufacturing and housing sector data. These stats should have a muted impact on the markets, however.
In the week ending 14th January, the Dollar Spot Index fell by 0.58% to 95.165.
For the EUR:
ZEW Economic Sentiment figures for Germany and the Eurozone will be the key stats early in the week.
Finalized December inflation figures for member states and the Eurozone in the week will also draw interest.
At the end of the week, however, expect Eurozone consumer confidence figures to also influence. The markets will be looking for the effects of rising consumer prices on sentiment.
On the monetary policy front, the ECB monetary policy meeting minutes are due out on Thursday, with ECB President Lagarde scheduled to speak on Friday.
For the week, the EUR rose by 0.44% to $1.1411.
For the Pound:
It’s an important week ahead on the economic calendar.
On Tuesday, claimant counts and the UK’s unemployment rate will be in focus.
Inflation and retail sales figures due out on Wednesday and Thursday will also be key, however.
The stats through the week should give the BoE the numbers it needs to decide what’s next on the policy front.
On the monetary policy front, BoE Gov. Bailey is scheduled to speak on Wednesday.
The Pound rose by 0.64% to end the week at $1.3675.
For the Loonie:
It’s a relatively quiet week ahead on the economic calendar.
Inflation figures will be in focus on Tuesday, ahead of retail sales and employment figures on Friday.
With the markets expecting a hawkish BoC, this week’s stats could seal the fate of the Loonie near-term.
The Loonie ended the week up 0.72% to C$1.2552 against the U.S Dollar.
Out of Asia
For the Aussie Dollar:
Westpac consumer sentiment and employment figures will be in focus. While consumer sentiment is important, expect the employment numbers to be key. Another sharp pickup in hiring could force the RBA to reconsider its current stance on cash rates.
The Aussie Dollar rose by 0.36% to $0.7207.
For the Kiwi Dollar:
Business confidence figures for the 4th quarter get things started on Tuesday. We have seen business confidence wane recently, so the markets will be expecting some weak numbers.
Of greater significance will be electronic card retail sales figures due out on Wednesday.
At the end of the week, Business PMI numbers will also draw interest, however.