Talking Points:
US Dollar Looks to Fed-Speak for Fresh Fodder After Hitting 12-Year High
New Zealand Dollar Gains as Traders Question RBNZ Rate Cut Probability
See Economic Releases Directly on Your Charts with the DailyFX News App
A quiet economic data docket at the start of the trading week is likely to put Fed-speak in the spotlight. Remarks from Eric Rosengren kick off a busy week of scheduled commentary. Traders will be keen to see if the typically dovish Boston Fed President was swayed in favor of a near-term rate hike by last week’s impressive payrolls data. Rhetoric suggesting as much is likely to offer a boost to the US Dollar. Rosengren is not a voter on the current FOMC committee but will be one in 2016, making him an active participant in the on-coming policy normalization process.
The New Zealand Dollar outperformed in overnight trade. The move was accompanied by a push higher in bond yields, suggesting an improvement in investors’ RBNZ outlook may have been behind the move. Indeed, a gauge of the priced-in policy view implied in OIS rates moved to the highest level since late April. The indicator now shows traders are no longer convinced that another rate cut is due in the next 12 months. The Yen traded broadly lower as Japanese stocks moved higher, undermining demand for the anti-risk unit. The greenback likewise weakened, correcting downward after jumping to a 12-year high last week.
New to FX? START HERE!
Asia Session
GMT
CCY
EVENT
ACT
EXP
PREV
03:00
CNH
Trade Balance ($) (OCT)
61.64B
62.00B
60.34B
03:00
CNH
Exports (YoY) (OCT)
-6.9%
-3.2%
-3.7%
03:00
CNH
Imports (YoY) (OCT)
-18.8%
-15.2%
-20.4%
03:00
CNH
Trade Balance (CNY) (OCT)
393.2B
367.1B
376.2B
03:23
CNH
Exports (CNY) (YoY) (OCT)
-3.6%
-3.1%
-1.1%
03:23
CNH
Imports (CNY) (YoY) (OCT)
-16.0%
-11.7%
-17.7%
23:50
JPY
Official Reserve Assets ($) (OCT)
1244.2B
–
1248.9B
00:30
AUD
ANZ Job Advertisements (MoM) (OCT)
0.4%
–
3.8%
01:30
JPY
Labor Cash Earnings (YoY) (SEP)
0.6%
0.5%
0.4%
01:30
JPY
Real Cash Earnings (YoY) (SEP)
0.5%
0.3%
0.1%
European Session
GMT
CCY
EVENT
EXP
PREV
IMPACT
07:00
EUR
German Trade Balance (SEP)
20.0B
15.4B
Medium
07:00
EUR
German Current Account Balance (SEP)
21.9B
12.3B
Medium
07:00
EUR
German Exports SA (MoM) (SEP)
2.0%
-5.2%
Low
07:00
EUR
German Imports SA (MoM) (SEP)
1.0%
-3.2%
Low
08:00
CHF
Total Sight Deposits (NOV 6)
–
467.4B
Low
08:00
CHF
Domestic Sight Deposits (NOV 6)
–
401.3B
Low
09:30
EUR
Eurozone Sentix Investor Confidence (NOV)
13.1
11.7
Low
10:30
EUR
Eurozone OECD Economic Outlook
–
–
Medium
Critical Levels
CCY
Supp 3
Supp 2
Supp 1
Pivot Point
Res 1
Res 2
Res 3
EURUSD
1.0407
1.0594
1.0667
1.0781
1.0854
1.0968
1.1155
GBPUSD
1.4716
1.4908
1.4980
1.5100
1.5172
1.5292
1.5484
— 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