Busy week and year ahead

3 January, 2017

Tom Arnold

Happy New Year!

2016 was a year to remember on the markets with the people of the world standing up to the political classes and producing some staggering results at the polls. Brexit is coming, Trump is coming and the Italians have got a new government thanks to their own anti-establishment referendum. The year ahead sees leadership votes in France and German, with anti-EU rhetoric gaining momentum across the continent and no politician safe in their job.

As a result of this furore, there has been incredible volatility on the currency markets, with all of the majors coming out on top at times, but the overall winner definitely being the US Dollar. Without the UK’s and Europe’s problems thanks to Brexit and with their internal economy surprisingly enjoying the aftermath of a Trump election win, the US currency is in the driver’s seat and likely will be for some time to come, aided in no small part by the Federal Reserve starting, what is expected to be, a series of interest rate hikes.

The week ahead is a very busy one on the eco-stats front, with lots of critical releases due from all of the major zones:
UK Manufacturing PMI
German Unemployment
German CPI Inflation
US Manufacturing PMI

German Services PMI
European Services PMI
UK Construction PMI
UK Mortgage Approvals
European CPI Inflation
US FOMC Minutes

UK Services PMI
European PPI
European ECB Monetary Policy Meeting Accounts
US Initial Jobless Claims
US Services PMI
US Non-Manufacturing PMI

German Retail Sales
European Retail Sales
US Non-Farm Payrolls
US Unemployment Rate + Average Earnings

With so much going on this week and a very busy year ahead as well, make sure to stay in touch with your Currency Index account manager to be kept informed of exactly what is occurring and to discuss your options so that you can plan-out your currency requirement in plenty of time to get the very most from the markets.