Economic News Update

Binary option and forex news update – Last week of September through first week of October 2014

Get down on it! Last week’s overall numbers reveal a persistent weakness in the economy of euro zone countries. This is going to instigate ECB President Draghi to “pull the trigger” on the euro’s own version of a Q.E. (Quantative Easing) program.

Now that the ECB will be taking a more “hand’s on” approach, it will be interesting to see what type of assets they look to buy and how much will be purchased. Program parameters should be announced next month by the ECB President. The announcement should create a high level of movement on the euro currency market forefront as the planned purchase approaches.

For the USD, the Fed’s for the time being, are holding still on an interest rate hike, but have an “itchy” trigger finger to raise rates as soon as they see any definitive sign on the “snail’s pace” improvement of the U.S. economy.

The last quarter of 2014 is on our door step.

Now onto the market news that may have an impact on your trading week for the last week of September and the first week of October 2014:

  • For the Euro – German preliminary month over month CPI and Euro CPI year over year flash estimate and the ECB press conference
  • On the Asian market forefront – China’s HSBC final manufacturing PMI and manufacturing PMI. If we continue to see a slight uptick in the PMI figures, this may bode well for Asian market currencies.
  • For the kiwi – New Zealand’s business confidence measurement and Global Dairy Trade (GDT) Price Index.
  • For the Aussie’s – Month over month retail sales numbers, building approval’s and trade balance. Will we be seeing a downtrend for the Aussie on currency pairings if these numbers reveal weakness? Aussie resiliency could be at a breaking point.
  • For the Pound – Current account announcement which show the difference in value between imported and exported goods. Manufacturing PMI and construction PMI. We may anticipate seeing the pound hark to some level of market predictability after Scotland’s bid for independence went down in defeat.
  • For the USD – The consumer composite index, with increasing indications of economic recovery beginning to inch up. The U.S. may anticipate a good number that may spur a flexing of strength for retail sales heading into the American’s holiday season.
    • Supply Management Manufacturing PMI and Supply Management    Non-manufacturing PMI. With PMI levels showing indications that may continue the uptick trend.
    • Unemployment claims, unemployment rate, non-farm employment change and trade balance. Is the U.S. economy starting to gain its footing to solid ground for the last quarter of the year?

As overall numbers for euro zone and Asian economies are trying spruce themselves up while their numbers could be getting a bit “uglier”, the USD may be flexing a bit of muscle as signs of recovery look to continue rearing its “pretty” head.