Weekly Outlook 6th of January - 10th of January, 2020

2020-01-06

High volatility news for this week brought to you by MaximusFX market analyst.

Tuesday 7th January
USA-ISM Non-Manufacturing PMI- This a leading indicator of the economic health that takes account/survey of over 400 purchasing managers whereby respondents are to rate the relative level of business conditions including employment, production, new prices, supplier deliveries, and inventories. A higher than expected reading should be taken as positive/bullish for the USD, while a lower than expected reading should be taken as negative/bearish for the USD.

Wednesday 8th January
AUD-Building Approvals m/m- This concerns construction activities in the economy of Australia, it’s the best gauge of future construction activity because one needs to obtain government approval before embarking on any construction which is the first step in constructing new buildings. Construction creates room for so many opportunities in the economy as it leads to the creation of jobs for construction workers, surveyors, inspectors, contractors, and subcontractors who get to be hired by the builder.
USD- ADP Non-Farm Employment Change- This takes account of the number of people employed during the previous month, which is released 2 days ahead of the government released employment data.

Thursday 9th January
AUD-Trade Balance- Also known as International Trade in Goods and Services, which gives an account of the number of goods and services exported rather than imported into the economy. A positive number indicated that more goods and services were exported than imported.
CAD- Bank of Canada’s Governor Poloz speaks- The governor is expected to speak at the Greater Vancouver Board of Trade’s Economic Outlook Forum. During his speeches, investors and traders try to decipher interest rate clues.

Friday 10th January
AUD-Retail Sales m/m-This measures the change in the total value of inflation-adjusted sales at the retail level. It is the foremost indicator of consumer spending which accounts for the majority of overall economic activity.
CAD-Employment Change- Employment Change measures the change in the number of people employed. Job creation is an important indicator of consumer spending.
USD-Non-Farm Employment Change- Nonfarm Payrolls measures the change in the number of people employed during the previous month, excluding the farming industry. Job creation is the foremost indicator of consumer spending, which accounts for the majority of economic activity.
USD-Average Hourly Earnings m/m- Average Hourly Earnings measures the change in the price businesses pays for labor, not including the agricultural sector.