Morning Bulletin
Friday
- Canadian Employment data truly stole the show in Friday’s trading, despite the fact it was of course US ‘Non-Farm Friday’. With expectations of a very modest 1,800 rise in the number of people employed and the overall unemployment rate to creep up to 6.0%, the Canadian Dollar rocketed in FX space as the data smashed those expectations. The Canadian economy actually created 78,600 jobs in December, with the Unemployment rate plummeting down to5.7%. This has firmly put another rate hike back on the cards for the Bank of Canada in their next meeting.
- Earlier in the day Eurozone Inflation came in-line with expectations at 1.4% y/y. That was down from a previous 1.5% and shows price growth remains stubborn and a potential issue for the ECB in 2018.
- US Non-Farm payrolls was the headline figure Friday but it dissapointed, with the 148,000 jobs created in December falling well below the expected 190,000 jobs.
- The overall US unemployment rate remained at 4.1% as expected.
- US ISM Non-Manufacturing PMI 55.9 (57.6 Exp)
- US Factory Orders m/m 1.3% (1.1% Exp)
Overnight
- Swiss CPI m/m 0.0% (-0.1% Exp)
- German Factory Orders m/m -0.4% (0.1% Exp)
- UK Halifax HPI m/m -0.6% (0.2% Exp)
- US Federal Reserve member Mester said she expects four rate hikes in 2018.
- In contrast Fed member Harker see’s just two rate hikes as necessary this year, going slightly below the three that has been forecast by the Central Bank itself.
Today
- Typically quiet data calendar for a Monday, with no key data set for release.
- Might be worth noting UK PM Theresa May is due to reshuffle her cabinet later today.
- Please be aware that it is a bank holiday in Japan today.
Currency Pair | Interbank Rate | % Change on Day |
GBP/EUR | 1.1287 | +0.10 |
GBP/USD | 1.3536 | -0.20 |
EUR/USD | 1.1992 | -0.29 |
AUD/USD | 0.7834 | -0.31 |
Time (GMT) | Region | Data Release | Forecast | Previous |
09.30 | EUR | Sentix Investor Confidence | 31.5 | 31.1 |
10.00 | EUR | Eurozone Retail Sales m/m | 1.4% | -1.1% |
15.30 | CAD | BOC Business Outlook Survey | ||
17.40 | USD | Fed Member Bostic Speaks | ||
18.35 | USD | Fed Member Williams Speaks |