Weekly Outlook 8th – 12th of May
The Euro currency remained its strength 6 months` high against US dollar last week due to French presidential elections suggest optimistic response.
Last week Investors` main concentration on EUR/USD gave its impetus towards 1.0998 its highest level and Friday results on Opinion Polls indicated that Emmanuel Macron gained up to 26% taking the leads over anti- Europe right applicant Marine Le Pen ahead of Sunday`s 2nd round of elections, thus leading to political risk in Europe is disappearing.
It is also important to mention that as the strongest data of economy US Labor Department added over 211,00 job and accordingly last month report illustrated reduction from 98,000 to 79,000.
However, further economic circumstance of US obtained better consequences as hourly earnings showed a rise to 0.3% despite downward review on previous months decreased year to year rise to 2.5%.
The growth in US dollar against Japan yen progressed up 0.22% to 112.71 upon beating almost 7 week`s peaks of 113.04
The financial markets this week is mostly to stay volatile due to upcoming French presidential poll results.
Also, it is important to bear in mind an important indicator of Economy, US data Inflation could trigger the market direction basis, thus proving if economy shows strength this way, likely of rate hike in following month.
Here is the weekly outlook in the financial market by Maximusfx.com categorized as a list that could cause major volatility across currencies
8thof May, Monday
Victory in Europe Day, banks will be closed
China is to release Trade Balance by the General Administration of Customs of the People`s Republic of China, imports, exports by the National Bureau Statistics of China
The UK is to indicate production industry on House Prices
9thof May, Tuesday
Australia will indicate its retail sales data
Canada will illustrate its building permits
Dallas Fed President Kaplan will give speech at an event
10thof May, Wednesday
China is to announce consumer, producer price inflation data
Euro data on the impact of monetary policy at the Dutch House of Representatives by Mario Draghi
US is to report on import prices
11thof May, Thursday
New Zealand Reserve Bank is to demonstrate its interest rate
Switzerland is to announce inflation data
Bank of England is to release its latest monetary policy decision
Canada will demonstrate data on new house price inflation
12th of May, Friday
G7 nation`s central bankers and finance ministers meeting in Italy
The US is to report on consumer prices, consumer sentiment and retail sales data