Investors will get a taste of data from both sides of the Atlantic on Thursday, with the Eurozone and United States scheduled to release important figures for the months of November and December.
Action begins at 08:00 GMT with a Spanish report on industrial output. This will be followed up one hour later by a report on retail sales by the Italian government.
At 10:00 GMT, the Greek government will report on the national unemployment rate for the month of October. At the same time, the European Commission’s statistical agency will report on industrial production. Output in the 19-member euro area is forecast to rise 0.8% in November after climbing 0.2% the month before. In annualized terms, this translates into 3% growth.
The Portuguese government will issue a report on consumer inflation at 11:00 GMT.
One of the most closely watched reports of the session will come from the European Central Bank (ECB), which will unveil the minutes of its most recent policy meetings.
Shifting gears to North America, the US government will report on producer price inflation and initial jobless claims at 13:30 GMT. Meanwhile, the Financial Management Service will issue its monthly budget state for December at 19:00 GMT.
In terms of monetary policy, Federal Reserve Bank of New York President William Dudley will deliver a speech at 20:30 GMT.
Earlier in the day, the Australian government reported a sharp pickup in retail sales for November, signaling renewed strength in the domestic economy. Receipts at retail stores rose 1.2% from October, a growth rate that was three times as fast as the median forecasts. Sales were up 0.5% a month earlier.
The euro returned to strength in mid-week trading, as the EUR/USD found buyers around the 1.1925 region. The pair briefly touched the psychological 1.2000 level before paring gains later in the session. The EUR/USD was trading around 1.1964 in the Asian session, having gained 0.1% from the previous close.
Upbeat retail sales boosted the Australian dollar on Thursday. The Aussie climbed 0.3% against the US dollar to reach 0.7865. The AUD/USD pair is currently trading at its highest level since September. The technical indicators show bullish upside for the Australian currency now that prices have breached the 10-day SMA of 0.78267. The next zone of resistance is likely found around 0.7900.
After challenging 1.3600 earlier this week, the GBP/USD lost momentum on Wednesday to fall back toward 1.3500. Despite the decline, cable remains in an uptrend, helped by a progressively weaker US dollar. The pair faces immediate support at the 1.3490 region, followed by a stronger support level at 1.3400. Immediate resistance is located at 1.3600.
General Risk Warning for FX & CFD Trading. FX & CFDs are leveraged products. Trading in FX & CFDs related to foreign exchange, commodities, financial indices and other underlying variables, carry a high level of risk and can result in the loss of all of your investment. As such, FX & CFDs may not be appropriate for all investors. You should not invest money that you cannot afford to lose. Before deciding to trade, you should become aware of all the risks associated with FX & CFD trading, and seek advice from an independent and suitably licensed financial advisor. Under no circumstances shall we have any liability to any person or entity for (a) any loss or damage in whole or part caused by, resulting from, or relating to any transactions related to FX or CFDs or (b) any direct, indirect, special, consequential or incidental damages whatsoever.
Recommended Content
Editors’ Picks
EUR/USD hovers around 1.0700 ahead of German IFO survey
EUR/USD is consolidating recovery gains at around 1.0700 in the European morning on Wednesday. The pair stays afloat amid strong Eurozone business activity data against cooling US manufacturing and services sectors. Germany's IFO survey is next in focus.
USD/JPY refreshes 34-year high, attacks 155.00 as intervention risks loom
USD/JPY is renewing a multi-decade high, closing in on 155.00. Traders turn cautious on heightened risks of Japan's FX intervention. Broad US Dollar rebound aids the upside in the major. US Durable Goods data are next on tap.
Gold: Defending $2,318 support is critical for XAU/USD
Gold price is nursing losses while holding above $2,300 early Wednesday, stalling its two-day decline, as traders look forward to the mid-tier US economic data for fresh cues on the US Federal Reserve interest rates outlook.
Worldcoin looks set for comeback despite Nvidia’s 22% crash Premium
Worldcoin (WLD) price is in a better position than last week's and shows signs of a potential comeback. This development occurs amid the sharp decline in the valuation of the popular GPU manufacturer Nvidia.
Three fundamentals for the week: US GDP, BoJ and the Fed's favorite inflation gauge stand out Premium
While it is hard to predict when geopolitical news erupts, the level of tension is lower – allowing for key data to have its say. This week's US figures are set to shape the Federal Reserve's decision next week – and the Bank of Japan may struggle to halt the Yen's deterioration.