- Yesterday morning Kicked Off with a slight suprise beat on Eurozone Inflation. Expecting a y/y CPI print of 1.4%, the actual figure of 1.5% was the highest since April.
- Released at the same time the overall Eurozone Unemployment Rate remained at 9.1%.
- There were reports yesterday claiming ECB policymakers are becoming worried by the continued strenght of the Euro in FX space. The source suggested this could lead to a delay in the ECB decision on QE or a more gradual exit from asset purchases.
- US Unemployment Claims were largely in-line with expectations at 236K (237K Exp).
- Canadian GDP soared to an annualized 4.5% in the second quarter of 2017, that smashed the expected growth of 3.7% and was largely attributed to strong consumer spending. Many analysts believe this will affirm the case for another Bank of Canada rate rise this year.
- The Canadian Dollar rallied hard in FX space of the back of this impressive data. GBP/CAD declined from 1.6340 to 1.6180 in the immediate aftermath, whilst USD/CAD went from trading 1.2660 to closing the day at 1.2500.
- There were also a good few medium impact US Data releases:
- Personal Spending m/m 0.3% (0.4% Exp)
- Chicago PMI 58.9 (58.7 Exp)
- Pending Home Sales m/m -0.8% (0.4% Exp)
- China’s most important political event, the Communist Party Congress, has been confirmed and will begin on the 18th October.
- China Caixin Manufacturing PMI 51.6 (50.9 Exp)
- Australia AIG Manufacturing Index 59.8 (56.0 Previous)
- Japan Final Manufacturing PMI 52.2 (52.8 Exp)
- Spanish Manufacturing PMI 52.4 (54.4 Exp)
- UK Manufacturing PMI is our only key print this morning at 9.30am; reading of 55.0 expected.
- Today is of course Non-Farm Friday and so this afternoon’s calendar is dominated by key US employment data, kicking off at 1.30pm.
|Currency Pair||Interbank Rate||% Change on Day|
|Time (GMT)||Region||Data Release||Forecast||Previous|
|13.30||USD||Average Hourly Earnings m/m||0.2%||0.3%|
|13.30||USD||Non-Farm Employment Change||180K||209K|
|14.45||USD||Final Manufacturing PMI||52.5||52.5|
|15.00||USD||ISM Manufacturing PMI||56.5||56.3|
|15.00||USD||Revised UoM Consumer Sentiment||97.4||97.6|