10 June, AtoZForex – What did Draghi say that sent the Euro spiraling down yesterday? In his speech at the Brussels Economic Forum, his worry about the state of the European economy was obvious, while clarifying that the European Central Bank remains open to taking further policy measures to boost the economy. A step which is increasingly being condemned. The Euro fell across most of its other counterparts yesterday, ending the day about a hundred pips lower against the dollar.
Canada job reports forecast for a rebound
Big day ahead for the Canadian dollar with the employment change and the unemployment rate reports due for release. Canada is expected to post an increase in jobs over the past month of 3.1k. After the labor market stalled in April as the oil-hit province of Alberta shed still more jobs. Loosing 2,100 jobs, worse than economists’ forecasted. With the gradual pick-up in production and the rise in energy prices, the Canada job situation is now expected to rebound. A positive report will likely help resume the bearish momentum on the USDCAD pair.
US Prelim UoM Consumer Sentiment due
Considering the fact that the US Prelim UoM Consumer Sentiment is a good index for measuring the relative level of current and future economic conditions, this data will be closely watched in the buildup to the Federal Reserve June 15 meeting. June rate hike is most likely off the table, but markets are still keen on the measures to be announced by the Fed if any. Dollar weakness is the dominant theme and is likely to remain so into the new week as the Prelim UoM Consumer Sentiment is forecast for a slight drop to 94.1 from 94.7.
US Federal Budget Balance, deficit expected
The Federal budget balance is forecast to show a difference in value between the federal government’s income and spending during the previous month of -56.2B, a deficit. Although traders do not typically watch this numbers as the effect on the market is usually short lived, it is still, however, an important metric to keep tabs on.
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