This week ahead will have low volatility as there is only a smattering low-level data out. Most European countries and Australia, New Zealand and Canada are coming back from holidays with few economic reports which none of them is a game changer for their currencies. On Sunday, April 23rd, French presidential elections will be closely eyed.
On Sunday past, April 16th, the Turkish referendum ended with the majority voting “yes” which means that the political system of the country will be transformed to presidential from parliamentary democracy has been until now. The USD/TRY rose severely on Friday, the last trading day before the referendum, more than 500 pips, near to 3.7190, while after, the currency pair opened with a gap to the downside which covered quickly and rose even more as it added more than 2.4% in two daily sessions.
Tuesday will be flooded with macro data from U.S. while the economic calendar is muted from Eurozone’s economic news. The building permits and the housing starts change for March are scheduled for release. While the building permits are expected to pick up by 1.255M from 1.216M before, the housing starts are predicted to be just 1.260M in March from 1.288M the previous month. The industrial production is expected to show an expansion of 0.4% in March from 0.1% adding to the signs that U.S. economy continues to develop strongly.
On Wednesday morning, attention will be on Euro area’s CPI report and in the second half of the day, on Fed’s Beige book which will be published at 18:00 GMT. Euro area’s final inflation rate for March is expected to meet the earlier estimations of 1.5% year-over-year from 2% in February.
Trade balance for the 19-nation union is coming out as well...
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