Let's look at the news event's we've got lining up this week...
The RBA did not make any changes to interest rates in the latest policy decision. Policymakers extended its bond-buying program for a couple of months which reducing the amount from A$5B to A$4B per week. The transcript of their meeting should provide more insight on why they decided to make these adjustments and whether or not they’re considering tightening anytime soon.
No policy changes are expected from the ECB, however many are hoping that the Chairperson Lagarde will update their forward guidance on rates. Particularly, expectations are for the ECB to commit to keep negative rates in place for longer, as their economy is struggling to deal with the pandemic.
Lagarde may also clarify the end of the PEPP (pandemic emergency purchase programme) next year could be followed by regular asset purchases, which would basically be another round of quantitative easing.
We're expecting to see another round of declines for manufacturing PMI's in the eurozone while the services sector could be showing improvements.
France could print a dip in its July flash manufacturing PMI from 59.0 to 58.1 and an increase from 57.8 to 58.7 for its services PMI.
Germany could see its manufacturing PMI dip from 65.1 to 64.7 and its services PMI climb from 57.5 to 59.4.
This should be enough to bring the region’s flash manufacturing PMI down from 63.4 to 62.6 and the flash services PMI up from 58.3 to 59.4 this month.
9/27/2021 Election results in Germany has German equities mostly flat on the day as investors are watching the Social Democratic Party take the lead in the polls. In Washington D.C., legislation is toiling to raise the US's debt limit, pass Biden's agenda and avoid a government shutdown from defaulting on federal aid with hundreds of […]
Hey everybody, this is a breakdown of some of the macro trends around Gold and some of the pressures it is facing from inflation and the Fed's potential rate hikes. Overview As of 09/26/2021, the Gold Continuous Contract is down -0.75% this week, and -3.79% for the month. Gold is currently caught in a limbo […]
Hey everyone! Welcome to this week's forex forecast for the week ending October 1st, 2021. I'm TraderBart with A1 Trading, and this week I'll be looking at USDJPY, GBPUSD, GBPNZD & XAUUSD. USD/JPY Price closed off for the week just above the resistance at 110.6 in this range bound market. Look out for how price […]