What you need to know before markets open
- American conservative commentator, economic analyst, television personality, and newspaper columnist Larry Kudlow said he has accepted a job as Trump's top economic adviser, replacing Gary Cohn.
- The US is pressing China to cut trade surplus by $100 billion, sources from White House report.
- Swiss central bank highlights Thursday although no change in monetary policy is expected.
Thursday’s market moving events
- French inflation in February is expected to fall -0.1% m/m.
- Swiss National Bank is set to keep the monetary policy unchanged with Interest on sight deposits at the SNB is to remain at –0.75% and the target range for the three-month Libor unchanged at between –1.25% and –0.25%.
- The Empire State manufacturing index is seen rising to 15.0 in March.
- The US initial jobless claims are expected to reach 226 K in a week ending March 9.
- The Philadelphia Fed manufacturing index is forecast to decelerate to 23.0 in March.
- The ADP employment survey for Canada is expected to increase 10K in February.
Major market movers
- The US Dollar recovered slightly on Wednesday after Washington DC shakeup related fall previous day, but gains were mild.
- With SNB seen holding rates steady and other macro indicators due on Thursday being of rather a second tier, market sentiment is likely to drive FX rates, not the fundamentals.
Wednesday’s macro summary
- China’s industrial production rose 7.2% y/y in January, beating the expectations.
- China’s retail sales rose 9.7% y/y in January.
- German final HICP rose 1.2% y/y in February, meeting the market estimate.
- ECB President Mario Draghi said that the inflation is way below the ECB target and the Euro’s strength could weigh on inflation down the line.
- The ECB chief economist Peter Praet confirmed in a speech in Frankfurt that the Bank had adjusted the monetary policy stance by removing so-called APP easing bias from the official statement.
- The Eurozone employment rose 0.3% Q/Q in the final quarter of 2017, meeting the market forecast.
- The Eurozone industrial production fell 1.0% m/m in January while increasing 2.7% y/y falling short of expectations.
- The US retails sales control group rose disappointing 0.2%m/m in February. Total retail sales reached $492.0 billion in February, falling -0.1% m/m.
- The US core PPI is forecast to rise 0.2% m/m in January while accelerating 2.5% y/y.
- ECB's Villeroy said there is a broad convergence of market expectations with governing Council views.
- New Zealand GDP rose 0,65 Q/Q in December quarter while rising 3.1% y/y for the whole year of 2017 as business services drove the output higher.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
EUR/USD stabilizes near 1.0800 as trading action turns subdued
EUR/USD holds steady near 1.0800 on Thursday and remains on track to end the day in negative territory following upbeat macroeconomic data releases from the US. The action in financial markets turn subdued as trading volumes thin out heading into Easter holiday.
GBP/USD extends sideways grind above 1.2600
GBP/USD fluctuates in a narrow channel above 1.2600 on Thursday. The better-than-expected Initial Jobless Claims data from the US and the upward revision to the Q4 GDP growth help the USD stay resilient against its rivals and limits the pair's upside.
Gold pulls away from daily highs, holds above $2,200
Gold retreats from daily highs but holds comfortably above $2,200 in the American session on Thursday. The benchmark 10-year US Treasury bond yield stays near 4.2% after upbeat US data and makes it difficult for XAU/USD to gather further bullish momentum.
XRP price falls to $0.60 support as Ripple ruling doesn’t help Coinbase lawsuit against SEC
XRP programmatic sales ruling by Judge Torres was completely rejected by another US Court that ruled in favor of the SEC in a lawsuit against Coinbase.
Portfolio rebalancing and reflation trades emerge into Q2
Yesterday’s price action pointed at a possible end-of-quarter portfolio rebalancing as the session saw the laggards of the quarter like Apple and Tesla gain, and the stars like Microsoft and Nvidia retreat.