Australian one dollar coins
A handful of Australian one dollar coins is shown in Sydney, February 18, 2004. Reuters/Tim Wimborne

Bell FX Currency Outlook: A big week lies ahead for markets, with the RBA meeting, Stevens appearance, Australian GDP
figures, the ECB decision, Yellen appearances, US payrolls, and the OPEC conference as the key events.

Australia: It was an exceptionally quiet end to the week in markets with many in the US taking a long weekend following the Thanksgiving holiday. The AUD finished the week with a slightly weaker tone despite a small bounce in iron ore prices. This week, risks are to the downside – we will watch the tone of the RBA and local GDP together with Chinese manufacturing activity and the US payrolls report. There will be a burst of activity this week with important data across most geographies and a number of key central bank meetings too. Today, ANZ Business Confidence will drive NZD. The run of better EU data may continue with German CPI, but EUR is trading on the ECB. GBP price action is weak and we will watch consumer credit.

Majors: The USD strengthened into the end of last week. GBP was unable to strengthen despite solid details in the second read of Q3 GDP. The estimate was in line with expectations with growth rising 0.5% q/q and 2.3% y/y. However, the composition was indicative of greater strength in domestic activity. EUR slipped as the data (Spanish CPI, EU confidence) continue to outperform. The flash Spanish CPI for November surprised to the topside, with HICP rising 0.2% m/m. This lends upside risk to Monday’s release of the German and Italian flash inflation reports.

Economic Calendar 30 NOV

  • AU TD Securities Inflation MoM Nov
  • AU HIA New Home Sales MoM Oct
  • AU Private Sector Credit Oct
  • AU Compnay Operating Profit QoQ 3Q

BellFx

[Kick off your trading day with our newsletter]
More from IBT Markets:
Follow us on Facebook
Follow us on Twitter
Subscribe to get this delivered to your inbox daily