Banc De Binary’s analysis centre - The Trading Room – welcomes you to Ahead of the Week Report for September 8th to 12th, 2014. All event times are GMT.
A quick reminder that last week, the ECB cut all its interest rates by 10 basis points, triggering a slump in the euro versus its peers. The Bank of England also sat on the fence, maintaining its interest rate at 0.5 percent.
Onto Monday, September 8th and our analysts expect a quiet start to the trading week, with little in the way of market-moving events. If you trade the Swiss franc, it’s worth looking out for the results of Switzerland’s Consumer Price Index for August, reported on a monthly basis at 07.15 AM. Previously, the inflation rate was zero percent.
Tuesday the 9th looks a lot more active for traders, as the Bank of England releases its inflation hearings, starting at 09.00. Every quarter, the Bank of England gives evidence to the House of Parliament about the state of the UK’s economy, with an emphasis on inflation and price data. Our analysts are looking out for possible trades on the Sterling crosses, as this is a leading market event that has a knock-on effect on the GBP and its rivals.
The highlights on Wednesday the 10th of September include New Zealand’s Monetary Policy Statement and Interest Rate decision at 21.00. New Zealand’s benchmark interest rate is currently at 3.5 percent, and the country’s central bank has raised the rate four times in a row in order to keep inflation steady at 2 percent. New Zealand’s economy is growing at the healthy pace of 3.7 percent per year, so all eyes will be on the New Zealand Dollar and its trading price against rivals during the event.
That brings us to Thursday the 11th of September, which brings investors big news from the Asian markets, starting with China’s monthly Consumer Price Index report for August, out at 01.30. It was previously at 0.1 percent, and is expected to rise to 0.4 percent. Australia reports its Unemployment Rate for August at the same time, which was previously 6.4 percent.
Finally, on Friday the 12th, the highest-impact event is at 12.30, when the US reports its Retail Sales figures for August - which are expected to rise to 0.3 percent, from 0 percent. Can the latest Retail Sales figures keep up with other positive data coming out of the US? The results were flat in July, remaining unchanged at 392.5 billion dollars, and disappointing investors who are looking for more bullish signals and a strengthening USD. Retail sales have nonetheless risen steadily since the beginning of the year, so there’s a possibility of the trend continuing in August.
That was Ahead of the Week Report from Banc De Binary’s Trading Room research team.