Major Events that Will Shape EUR/USD Pair

Tradervox.com (Dublin) - EUR/USD had an excellent week, breaking decisively to levels last seen in November 2011. Is 1.40 the next target? Or will the common currency take a break now? German retail sales, inflation and employment data, consumer sentiment in France and Germany and GDP in Spain. Check out these events, on our weekly outlook. Here is an outlook for these events among others for EUR/USD.

Tuesday

GfK German Consumer Climate: at 0700hrs. German consumer confidence advanced to its highest level in six years reaching 7.1 in October, from 7.0 in the prior month, in line with market forecast. Strong consumer spending lifted growth in 2013, increasing confidence among consumers for the next 6 months ahead. Angela Merkel’s reelection will also boost confidence in the next reading.  A rise to 7.3 is expected now.

Wednesday

German CPI: German inflation was flat for the third consecutive month in September, supporting domestic consumption in Europe’s strongest economy. The yearly inflation rate reached 1.6%, in line with estimates. The low unemployment rate in Germany is also contributes to growth.

Spanish Flash GDP: at 0800hrs. The Spanish economy came closest to expansion in the second quarter, contracting only 0.1% from a 0.5% drop in the first quarter. However domestic demand and consumer spending are still sluggish, providing little hope for a speedy recovery. Spanish economy is expected to expand 0.1%.

German Unemployment Change: at 0855hrs. German unemployment edged up unexpectedly in September with an addition of 25,000 unemployed, after a 9,000 increase in August. However unemployment remains at the lowest level since reunification. A rise of 1,000 unemployed is expected now.

Retail PMI: at 0910hrs. Retail PMI in Eurozone declined to 48.6 in September, after reaching expansion in the previous month. German retail sales edged up at the weakest rate in four months, indicating the Eurozone retail sales were fragile in August, largely due to a reverse in France.

Thursday

German Retail Sales: at 0700hrs. German retail sales climbed 0.5% in August, following a 0.2% decline in July, indicating that a recovery in Europe’s No. 1 economy is gathering pace. Economists expected a larger gain of 0.9%. Sales picked up 0.3% from a year earlier. Consumer climate is on a growth trend contributing to economic growth. Another rose of 0.5% is anticipated now.

French Consumer Spending: at 0745hrs. French consumer spending dropped in August 0.4% following a 0.4% increase in July, led by food and energy declines. Consumer spending declined 0.1% on a yearly base in August. However, durable goods gained 0.1% and household goods climbed 0.4%. Textiles also jumped 1.3% on the month. A gain of 0.2% is anticipated.

Italian Monthly Unemployment Rate: at 0900hrs. Italian Jobless Rate rose to an all-time high of 12.2% in August from a revised 12.1% in July. A further rise to 12.4% jobless rate is expected this time.

CPI Flash Estimate: 1000hrs. The annual rate of inflation in the euro zone declined to the lowest level in three and a half years, rising 1.1% in September, from 1.3% in the previous month, indicating the European Central Bank will continue to pouring further stimulus into the region’s fragile economy if it deems it necessary.  Annual inflation is expected to rise 1.1%.

Unemployment Rate: at 1000hrs.  The euro zone unemployment rate remained unchanged in August, better than the rise to 12.1% forecasted by analysts, suggesting the moderate economic recovery started to impact the labor market. Unemployment rate is expected to decline to 12.0%.

Disclaimer
Tradervox.com is not giving advice nor is qualified or licensed to provide financial advice. You must seek guidance from your personal advisors before acting on this information. While we try to ensure that all of the information provided on this website is kept up-to-date and accurate we accept no responsibility for any use made of the information provided. Opinions expressed at Tradervox.com are those of the individual authors and do not necessarily represent the opinion of Tradervox.com or its management. 

 

Note: Investments in financial products are subject to market risk.  Some financial products, such as currency exchange, are highly speculative and any investment should only be done with risk capital. Prices rise and fall and past performance is no assurance of future performance. This website is an information site only. 

Tradervox.com is not giving advice nor is qualified or licensed to provide financial advice. You must seek guidance from your personal advisors before acting on this information. While we try to ensure that all of the information provided on this website is kept up-to-date and accurate we accept no responsibility for any use made of the information provided. Opinions expressed at Tradervox.com are those of the individual authors and do not necessarily represent the opinion of Tradervox.com or its management. Tradervox.com has not verified the accuracy or basis-in-fact of any claim or statement made by any independent author: errors and Omissions may occur.

Any opinions, news, research, analyses, prices or other information contained on this website, by Tradervox.com.com, its employees, partners or contributors, is provided as general market commentary and does not constitute investment advice.

Tradervox.com will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information. Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you.

Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose.

You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

By accessing this website, you accept our Terms and Conditions