Key event risks in the week ahead – Westpac

Dhwani Mehta FXStreet

Analysts at Westpac enlist key economic events to watch out for in the week ahead, with the key focus likely to be on the UK politics and European Central Bank (ECB) monetary policy decision.

Key Quotes:

“Little data and event of note Monday though BoJ Governor Kuroda will deliver a speech at the IMF today and we do have a busy week ahead.

In the UK Leadership vote outcome due Tuesday and the new PM moving into Downing Street Wednesday. The new PM will face a stern test in the Gulf after last week’s seizure of a UK flagged tanker Friday.

The ECB meets Thursday and given Draghi’s comments in Sintra, expectations are running high. The US will report advance Q2 GDP Friday.

We also have just under a third of S&P500 stocks report earnings this week including Facebook, Amazon, Google, Twitter, Boeing and Caterpillar.

Here in Australia, the main focus will be on RBA Governor Lowe’s speech "Inflation Targeting & Economic Welfare" Thursday.”

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

EUR/USD extends its optimism past 1.1900

EUR/USD retains a firm underlying bid, surpassing the 1.1900 mark as the NA session draws to a close on Monday. The pair’s persistent uptrend comes as the US Dollar remains on the defensive, with traders staying cautious ahead of upcoming US NFP prints and CPI data.

GBP/USD hits three-day peaks, targets 1.3700

GBP/USD is clocking decent gains at the start of the week, advancing to three-day highs near 1.3670 and building on Friday’s solid performance. The better tone in the British Pound comes on the back of the intense sekk-off in the Greenback and despite re-emerging signs of a fresh government crisis in the UK.

Gold picks up pace, retargets $5,100

Gold gathers fresh steam, challenging daily highs en route to the $5,100 mark per troy ounce in the latter part of Monday’s session. The precious metal finds support from fresh signs of continued buying by the PBoC, while expectations that the Fed could lean more dovish also collaborate with the uptick.

XRP struggles around $1.40 despite institutional inflows

Ripple (XRP) is extending its intraday decline to around $1.40 at the time of writing on Monday amid growing pressure from the retail market and risk-off sentiment that continues to keep investors on the sidelines.

Japanese PM Takaichi nabs unprecedented victory – US data eyed this week

I do not think I would be exaggerating to say that Japanese Prime Minister Sanae Takaichi’s snap general election gamble paid off over the weekend – and then some. This secured the Liberal Democratic Party (LDP) an unprecedented mandate just three months into her tenure.