Turkey invasion on the USD –
A Thankful News update for 11/24 thru 11/28
Of course, not the country Turkey…or its currency, but those plump delicious birds that have American’s “giving thanks” this week for whatever blessings they’ve received through out the year.
One of the many things I am thankful for this year is the opportunity to be trader. I don’t know of a better way to make quick turnaround profits than trading the currency markets.
It’s a busy week for American’s as they prepare for Thanksgiving festivities and are ready to spring into action with Black Friday beckoning the official kick off to the holiday shopping season.
With American minds being preoccupied in many different directions this week, it will bode limited action up until midweek, on your USD pairings. Your other pairings may also see action only up until the middle of the week, since much of your currencies are spurred by developments that impact the USD and its influence.
Recession thunders its way through the Yen as they make it official. Now that Japan has been hit with the recession bug, they hope to stave off the symptoms with some action. Prime Minister Abe postpones the additional sales tax hike. This hike had the BOJ concerned it would roll in a thunder of severe consequences, that would have stifled Japan’s economy and its hope of a quick recovery.
Here we go with the major news releases that may have an impact on your trading week:
– We roll on with Asian Markets as the Yen is in for a bumpy ride heading into 2015. Will it continue to see further weakness against its USD and Euro counterparts? This will depend on further demand for its exports. Demand may show some strength going into the new year, but the BOJ (Bank of Japan) and Governor Kuroda will provide clues on moves that will hope to “sure foot” the economy and keep it from standing on “wobbly heels”.
– The Aussie will have its release of quarter over quarter Private Capital Expenditure. A seasonal “kick start”may give a slight boost to expenditures that look to beat expectations and provide an uptick level of positivity towards business investment.
– The Kiwi will release its Trade Balance figures and ANZ Business Confidence. As a continued string of optimism feeds into the Kiwi’s economy, it will continue to rely heavily on the demand for its commodities and in particular, to China’s demand in the marketplace. As China’s demand wanes or remains, so will go the strength of the Kiwi.
– The Euro the will have the release of German Ifo Business climate, month over month retail sales, Preliminary CPI, Unemployment Change, year over year CPI and Core CPI Flash Estimates.
The euro zone is hitting the doldrums as it continues to struggle for sparks of growth. The ECB (European Central Bank) and President Draghi are struggling to come up with effective ideas that will stimulate euro zone growth. Any easing policy would need to receive the blessing of German sentiment on, what will not only be beneficial to euro zone economies, but that it will prove to be beneficial to German production interests as well.
– The Sterling releases include BOE (Bank of England) Governor Carney Speaks and quarter over quarter Second Estimate GDP.
For the BOE the numbers earlier this month revealed a rise in wages, but the employment number remained stagnant after many month’s of trending improvement. We’ll need to perk up to any clues from Governor Carney’s carefully crafted words as the BOE keeps a close tab on increasing labor costs and the employment figures. We’ll see if Governor Carney reveals clues on whether they intend on perking up interest rates sooner rather than later. We don’t anticipate any significant revisions to the preliminary GDP numbers after release of the magnified review.
– The Loonie will have the release of month over month Retail Sales, Core Retail Sales and month over month GDP.
With last month’s reading coming up short of the forecast for retail sales and GDP, will we start to see a trend in Canada’s economy? If the data reveals another decrease in GDP, without the persistent resilience that the Loonie had been showing, we can anticipate seeing new ceiling and resistance levels continuing to take form.
– The USD will have a bevy of releases up until mid-week heading into Thanksgiving and the gluttony of festivities that will be making thousands of turkey’s uttering their last gobble.
The release of quarter over quarter Preliminary GDP, CB Consumer Confidence, month over month Core Durable Goods Orders and Core PCE Price Index, Unemployment Claims and New Home Sales.
On the cusp of Black Friday and holiday madness, we expect to see “spending steam” in the overall outlook of the U.S. economy.
The adjusted GDP figures look to be strengthened on confirming figures that the U.S. economy has gained traction. We can anticipate seeing durable good orders hitting their mark, as Americans are starting to get giddy with confidence in approaching the holiday spending season. The injection of American “feel good” is being fueled in part by lower gas prices and improving employment numbers as they “strut their stuff” heading into 2015.
For all your market news updates that affect your trading week check out our news calendar. Learn more about our winning trading systems by clicking one of the boxes on our Small Money Made Big website.
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