Talking Points:
Euro Vulnerable to Deeper Losses as “Grexit” Worries Emerge Once Again
US Dollar May Rise if Hawkish Fed-Speak Boosts Interest Rate Hike Outlook
See Economic Releases Directly on Your Charts with the DailyFX News App
The US Dollar underperformed to start the trading week, falling as much as 0.3 percent on average against its leading counterparts. The move appeared corrective after the benchmark unit soared to the highest level in 11 years last week in the aftermath of February’s payrolls data. The Euro led the way higher against the greenback having been the hardest-hit on Friday.
The single currency may swiftly come under renewed selling pressure however as Greece returns to the spotlight. Eurozone finance ministers are due to meet in Brussels to discuss the beleaguered country’s funding after a list of reforms proposed by Athens in exchange for bailout cash was rejected. Signs of renewed deadlock following the sit-down may reboot “Grexit” fears, rekindling Euro selling pressure.
“Fed-speak” comes into focus later in the day, with the President of the US central bank’s Cleveland branch Loretta Mester due to discuss the outlook for the economy and monetary policy. While not currently on the FOMC, Mester was a voter in 2014 and so seems likely to be well-versed in the latest thinking on the rate-settingcommittee. She is also firmly on the hawkish side of the spectrum, meaning her comments may reboot the USD advance if they portend a sooner start to stimulus withdrawal.
New to FX? START HERE!
Asia Session
GMT
CCY
EVENT
ACT
EXP
PREV
2:51
CNY
Trade Balance (FEB)
$60.62B
$6.00B
$60.03B
2:51
CNY
Imports (YoY) (FEB)
-20.5%
-10.0%
-19.7%
2:51
CNY
Exports (YoY) (FEB)
48.3%
14.0%
-3.2%
21:45
NZD
Manufacturing Activity (QoQ) (4Q)
-0.7%
–
-1.1%
21:45
NZD
Manufacturing Activity Volume (QoQ) (4Q)
0.9%
–
0.5%
23:50
JPY
GDP (QoQ) (4Q F)
0.4%
0.5%
0.6%
23:50
JPY
GDP Annualized (QoQ) (4Q F)
1.5%
2.2%
2.2%
23:50
JPY
Nominal GDP (QoQ) (4Q F)
1.0%
1.1%
1.1%
23:50
JPY
GDP Deflator (YoY) (4Q F)
2.4%
2.3%
2.3%
23:50
JPY
GDP Private Consumption (QoQ) (4Q F)
0.5%
0.3%
0.3%
23:50
JPY
GDP Business Spending (QoQ) (4Q F)
-0.1%
0.2%
0.1%
23:50
JPY
Current Account Total (¥) (JAN)
61.4B
270.4B
187.2B
23:50
JPY
Adjusted Current Account Total (¥) (JAN)
1058.1B
117.6B
852.8B
23:50
JPY
Trade Balance – BOP Basis (¥) (JAN)
-864.2B
-936.0B
-395.6B
23:50
JPY
Bank Lending incl Trusts (YoY) (FEB)
2.5%
–
2.5%
23:50
JPY
Bank Lending Banks ex-Trust (FEB)
2.6%
2.6%
2.6%
0:30
AUD
ANZ Job Advertisements (MoM) (FEB)
0.9%
–
1.2%
4:30
JPY
Bankruptcies (YoY) (FEB)
-11.50%
–
-16.55%
5:00
JPY
Eco Watchers Survey: Outlook (FEB)
53.2
50.4
50.0
5:00
JPY
Eco Watchers Survey: Current (FEB)
50.1
46.5
45.6
European Session
GMT
CCY
EVENT
EXP/ACT
PREV
IMPACT
7:00
EUR
German Trade Balance (€) (JAN)
15.9B (A)
18.9B
Low
7:00
EUR
German Current Account (€) (JAN)
16.8B (A)
25.6B
Low
7:00
EUR
German Imports s.a. (MoM) (JAN)
-0.3% (A)
-0.7%
Low
7:00
EUR
German Exports s.a. (MoM) (JAN)
-2.1% (A)
2.8%
Low
8:00
CHF
SNB Sight Deposits
–
–
Low
8:30
EUR
Eurozone FinMins Meet in Brussels
–
–
High
9:30
EUR
Eurozone Sentix Investor Conf (MAR)
18.6 (A)
12.4
Low
Critical Levels
CCY
Supp 3
Supp 2
Supp 1
Pivot Point
Res 1
Res 2
Res 3
EURUSD
1.0520
1.0713
1.0778
1.0906
1.0971
1.1099
1.1292
GBPUSD
1.4660
1.4884
1.4961
1.5108
1.5185
1.5332
1.5556
— Written by Ilya Spivak, Currency Strategist for DailyFX.com
To receive Ilya’s analysis directly via email, please SIGN UP HERE
Contact and follow Ilya on Twitter: @IlyaSpivak
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.Learn forex trading with a free practice account and trading charts from FXCM.
Source: Daily fx