James Trescothick

Education Manager at easyMarkets. Passionate about the markets, the excitement, the story driving the markets at the time, the fundamentals and even the technicals.

Welcome to the easyMarkets weekly outlook starting this Monday 3 April. We’ll be looking at the week’s key economic events on the financial calendar covering Monday to Thursday. Be sure to catch up with our Friday morning report that looks back at how the events played out. For the first week of April we have a raft of data and key news or speeches from central banks around the globe. The US starts the week off with manufacturing data and ends it with the all-important jobs data. The ECB meeting will be the first post-Brexit being triggered last week which may see some action for both the pound and the euro.

Event: US ISM Manufacturing PMI

Date: Monday 03 April 2017 at 14:0 GMT

Markets affected: EUR/USD, USD/JPY

Trending hashtags: #usd, #ism

February’s ISM came in better than anticipated at 57.7, the highest figure for the last 14 months. For the month of March, the markets are forecasting 56.2 as the manufacturing sector continues to show good growth.

Event: Australia RBA Interest Rate Decision

Date: Tuesday 4 April 2017 at 04:30 GMT

Markets affected: AUD/USD, GBP/AUD

Trending hashtags: #aud, #interestrate

So far the Reserve Bank of Australia has been keeping the cash rate at a stable 1.5%. Bank Governor, Philip Lowe, is still aiming to balance inflation so the markets are not expecting any changes to the interest rate this time around. Though positive commodity prices and coming out of the mining slump has given some food for thought as to whether it may be time for some monetary policy shifts. However, with an uncertain global environment, it won’t surprise anyone if the bank continues with its ‘wait and see’ approach.

Event: EU Non-Monetary Policy – ECB Meeting

Date: Wednesday 5 April 2017 at 07:00 GMT

Markets affected: EUR/GBP, EUR/USD

Trending hashtags: #eur, #ecb,

Recent highs for the euro against the US dollar saw retracements on the back of rumours that the ECB were not happy with market reaction to the March policy meeting. Markets interpreted last month’s reading hawkishly which has not pleased the central bank. This month’s meeting report may look to correct the previous one’s optimism. Following Wednesday’s announcement will be the ECB Monetary Policy Meeting notes on the following day at 11:30 which may also be closely followed by euro traders.

Event: US FOMC Minutes

Date: Wednesday 5 April 2017 at 18:00 GMT

Markets affected: EUR/USD, GBP/USD, USD/JPY

Trending hashtags: #usd, #fomc

Further on Wednesday we have minutes released from the Federal Open Market Committee’s meeting in March. The March meeting announced an interest rate hike of 0.25%, the first of a possible 3 hikes for the year. The minutes contain a full account of the reasons behind the last rate hike which may give some indications as to what any future hikes might need to happen. The minutes will also provide the committee’s outlook on future rate increases.

Event: US Non-Farm Payroll

Date: Friday 10 March 2017 at 13:30 GMT

Markets affected: EUR/USD, GBP/USD, USD/JPY

Trending hashtags: #usd, #unemployment

Both months of this year have seen the NFP surpass expectations with January’s figure coming in at 227,000 instead of the expected 170,000 new jobs added and February’s at 235,000. Wage growth in February improved and unemployment continues at a 4.7% showing positive signs for the US jobs market. For Friday’s non-farm payroll announcement, analysts’ are forecasting 180,000 new jobs in March.

https://www.fxstreet.com/economic-calendar

https://externalcontent.blob.core.windows.net/pdfs/sunrise_market_commentary_30thMarch.pdf

https://www.investing.com/economic-calendar/

 

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