The Bank of England will issue its Monetary Policy Summary this Thursday. China will release Trade Balance and inflation numbers. The U.S Average Hourly Earnings last Friday proved lackluster. The U.S will issue PPI and CPI results this week.
Wall Street’s Lackluster Month Continues, Equities Rise in Asia and Europe
Wall Street did manage gains on Friday. The three major Indexes have essentially treaded water the past month with inconsistency. However, European and Asian equities have done better in the same duration, and part of that reason is certainly the stronger U.S Dollar which is helping make global share values cheaper to buy. Jobs data from the States last week came in below estimates via the Non-Farm Employment Change and the Average Hourly Earnings. German Factory Orders will released early on Monday. China will release a long list of economic reports this week including Trade Balance and inflation statistics.
U.S Dollar Stays Strong but Stabilizes, CPI Data Coming from States
The U.S Dollar has brutalized most major currencies the past two weeks, but it has shown some tranquility the past couple of sessions as the Euro, Pound and Yen all trade within known short term ranges. The Bank of England will present its interest rate decision this Thursday, but because of poor data the past month the U.K central bank is expected to remain passive. Inflation figures via the PPI and Consumer Price Index will come from the States this week and may be a lynchpin in forex. However, speculators may believe the U.S Dollar has become too strong, but they may need to remain quite patient near term if they are pursuing reversals.
Gold Withstands Onslaught and Reverses Slightly, Inverse Dollar Move
Investors may have not ignited a parade of optimism for Gold towards the end of last week, but they showed an ability to withstand an onslaught of price pressures and actually achieved a slight reversal higher. Gold is near 1314.00 U.S Dollars an ounce, which is still within weak territory. The inverse Dollar centric mode of Gold is still a critical barometer.
Bank of England Policy Briefing, U.S Inflation Details on Calendar
Factory Orders from Germany will be released on Monday at 6:00 GMT. The Halifax Home Price Index will be issued in the U.K at 7:30 GMT on Tuesday. The States will deliver Producer Price Index numbers at 12:30 GMT on Wednesday. The Bank of England announces its Monetary Policy Summary on Thursday at 11:00 GMT. And wrapping up the week will be the University of Michigan’s Consumer Sentiment reading on Friday at 14:00 GMT.