Events to Look Out For Next Week

Dr. Nektarios Michail HFM

Important events are coming out this week, with two GDP and three inflation releases. Wednesday is the day when the most important data releases will be out.

Tuesday – 13 November 2018

Average Earnings and Unemployment (UK, GMT 09:30) – UK Earnings are expected to have increased by 3% in September, compared to 2.7% in August, in reflection of the slight improvement in the UK economy. UK unemployment is expected to have remained at 4% in September.

Gross Domestic Product (JPY, GMT 23:30) – Growth in Japan is expected to have decreased by 1% in the third quarter, reflecting weaker than expected household spending.

Wednesday – 14 November 2018

Consumer Price Index (GBP, 09:30) – UK inflation is expected to have increased by 2.5% y/y in October, edging higher than the 2.4% observed in September.

EcoFin Meeting (EUR, Full Post) – European Finance Ministers are to convene on a variety of topics, ranging from Brexit to Italy.

Gross Domestic Product (EUR, GMT 10:00) – Euro Area real GDP for Q3 is expected to come out at 1.7%, the same levels as the previous quarter, reflecting the stability of the European economy.

Consumer Price Index (USD, 13:30) – The US CPI excluding Energy&Food for October is expected to have come out higher than last month, at 2.4%, reflecting the continuous growth of the US economy.

Thursday – 15 November 2018

Employment Data (AUD, GMT 00:30) – Australian labour market data are expected to deteriorate slightly, with the unemployment rate expected to increase to 5.1%, compared to 5% last month and employment to change only slightly.

Retail Sales (USD, GMT 13:30) – In accordance with the positive NFP surprise observed last month, retail sales are also expected to have increased by 0.5%, compared to -0.1% last month.

Friday – 16 November 2018

Consumer Price Index (EUR, GMT 10:00) – Similar to the GDP expectations, the Euro Area CPI is expected to have remained at the same levels as last month, at 2.2% y/y.

Industrial Production and Capacity Utilization (USD, GMT 14:15) – Industrial Production is expected to have increased by 0.2% in October, while Capacity Utilization is expected to have remained at the same levels as October, at 78.1%.

Author

Dr. Nektarios Michail

HFM

With more than 4 years of experience at the Central Bank of Cyprus where he obtained hands-on experience with real-life economics, Dr Nektarios Michail is a supporter of a balanced approach between science and art when it comes to

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.