KEY ECONOMIC EVENTS FOR THIS WEEK

Category: Fundamental News

1. Wednesday-- CAD Consumer Price Index (m/m) @ 1:30pm
2. Wednesday–US Interest Rate Decision @ 7:00pm
3. Thursday ------AUD Gross Domestic Product @ 2:30am
4. Thursday------ GBP Interest Rate Decision @ 12:00pm
3. Friday---------- CAD Retail Sales @ 1:30pm

CANADA CONSUMER PRICE INDEX- The consumer price index for Canadian dollar will be release on Wednesday. The figure is expected to show - 0.1% (m/m) for the month of August. Core CPI (y/y), which excludes the most volatile items in CPI, is projected to remain at 2%. A better than expected figure will boost Canadian dollar while a worse than expected figure will weaken the Loonie.

US INTEREST RATE DECISION –The United nation will release its interest rate figure on Wednesday. The Fed is expected to cut rate by 25bp from the prior 2.25%. Trade tensions between US & China have taken their toll and the job market has seen fewer job gains. Markets are fully pricing in a reduction. If the rate remains unchanged could be Bullish for USD and vice versa. We will be paying attention to the accompanying statement. A dovish statement will weaken the dollar while a hawkish statement will strengthen the greenback.

AUSTRALIA GROSS DOMESTIC PRODUCT-TheAustralia will release its employment change figure on Thursday. Employment in Australia increased by 41.1k in the prior month and it's also forecast to increase again by 10k for the month of August. A worse than expected outcome will be negative for the Aussie while a better than expected outcome will be positive for the Aussie.
UK INTEREST RATE DECISION - The United Kingdom will release its interest rate decision on Thursday. The market expects the BOE to leave rate unchanged at 0.75%. The BOE has its hands tied due to Brexit. Wage growth is robust and it would like to raise rates to combat potential inflation that may arise. Should the rate remain unchanged and the overall market is correct and the BOE remain on hold, the market will turn its attention to the accompanying statement. A hawkish statement will strengthen the pound while a dovish statement will weaken the pound.

Published: 2019-09-18 06:45:17