European and US Forex Trading Preview
At 2:40 AM France Q4 GDP q/q (exp 0.2%, prev 0.7%) At 5:00 AM Eurozone December Trade Balance (exp -2.0 bln euros, prev -2.3 bln euros).
At 8:30 AM Canada December retail sales ex autos (exp 0.3%, prev 0.1%) Canada December retail sales (exp 0.1%, prev 1.1%)
At 10:00 AM US January Leading Indicators (0.6%, prev 0.1%) At 2:00 PM US Minutes of January 31 FOMC meeting.
At 5:00 PM US Dallas, Fed President Fisher Speaks
Currencies were confined to narrow ranges amid holiday-thinned trading, with the greenback still treading on slightly weaker footing against the euro and sterling.
With the return of the US market from the President’s Day holiday, activity in the currency market is expected to pick up.
The coming trading session will see several key economic reports including Eurozone trade balance, US January leading indicators and the FOMC minutes from the Jan 31 meeting.
At 2:00 PM, the FOMC will release the minutes from its latest meeting – in which the Fed lifted rates by 25-bp. It also marked former Chairman Greenspan’s last meeting, which may provide for interesting comments. Nevertheless, the minutes will be closely scrutinized for clues regarding the scope and length of the current tightening cycle in place.
Meanwhile, the January leading indicators index is forecasted to improve to 0.6%, compared with 0.1% in the previous month.