- Moves in FX space were fairly muted Friday with very little data of any significance set for release.
- Eurozone Inflation data headlined in the morning, with the CPI y/y print inline with expectations at 1.9%. That is the first time in a year that Inflation has edged close to the ECB’s 2% target.
- Released at the same time the Eurozone’s Trade Balance showed it’s lowest surplus in 6 months at 18.1Bn. A surplus of 20.2Bn had been expected, but higher imports weighed on the actual figure.
- Into the afternoon and there were a number of releases out of North America, but nothing particularly high impact:
- Canadian Manufacturing Sales m/m -1.3% (0.6% Exp)
- US Empire State Manufacturing Index 25.0 (19.1 Exp)
- US Capacity Utilization Rate 77.9% (78.1% Exp)
- US Industrial Production m/m -0.1% (0.2% Exp)
- Prelim UoM Consumer Sentiment 99.3 (98.5 Exp)
- Speaking Friday evening US Fed Member Robert Kaplan said that trade with its neighbours Mexico and Canada represents opportunity and not a threat, with trade deals boosting jobs in the United States.
Over The Weekend
- According to the British Chambers of Commerce the UK economy is on track to grow at its slowest pace since 2009, with Brexit uncertainties, higher oil prices and fears of a trade war the main factors weighing on performance. The BBC has now cut its 2018 growth forecast to 1.3%, down from 1.4%.
- China-US trade tensions heightened even further over the weekend, with China repsonding to President Trumps latest threat by imposing extra custom duties of its own. President Trump threatened to impose a 25% tariff on $50bn of Chinese goods containing industrially-significant technologies amid accusations of China stealing intellectual property from US Tech companies.
- UK Rightmove HPI m/m 0.4% (0.8% Prior)
- Japan Trade Balance -0.30Tn (0.14Tn Exp)
- Could be a quiet day ahead with very little data set for release.
|Currency Pair||Interbank Rate||% Change on Day|
|Time (GMT)||Region||Data Release||Forecast||Previous|
|10.00||EUR||Italian Trade Balance||3.21Bn||4.53Bn|
|11.00||EUR||German Buba Monthly Report|
|15.30||AUD||CB Leading Index m/m||0.2%|
|18.00||USD||US Fed Member Bostic Speaks|
|18.30||EUR||ECB President Draghi Speaks|
|21.00||USD||US Fed Member Williams Speaks|