By FXEmpire.com
Analysis and Recommendation: (close of Asian session)
The USD/CNY is trading at 6.3023 as the USD climbs against the yuan. Data out of China over the past week continues to show an overall slowdown in growth, as predicted, but still the data is slightly below forecast.
China’s factory activity slowed for a sixth straight month, with the slowdown beginning to drag noticeably on employment conditions, although the larger trend pointed to stabilizing conditions, according to a survey released Wednesday.
HSBC’s monthly manufacturing Purchasing Managers’ Index climbed to 49.3 on a 100-point scale, up from a preliminary “flash” reading of 49.1 and a full point higher than March’s 48.3.
The HSBC report tends to contradict Chinese official data fairly regularly, and markets give more credence to this data.
Economic events for May 2-3, 2012 Actual v. Forecast
|
CHF |
SVME PMI |
46.9 |
50.5 |
51.1 |
|
|
EUR |
French Manufacturing PMI |
46.9 |
47.3 |
47.3 |
|
|
EUR |
German Manufacturing PMI |
46.2 |
46.4 |
46.3 |
|
|
EUR |
German Unemployment Rate |
6.8% |
6.7% |
6.8% |
|
|
EUR |
German Unemployment Change |
19K |
-10K |
-18K |
|
|
EUR |
Manufacturing PMI |
45.9 |
46.0 |
46.0 |
|
|
EUR |
Unemployment Rate |
10.9% |
10.9% |
10.8% |
|
|
USD |
ADP Nonfarm Employment Change |
119K |
177K |
201K |
|
|
May 3 |
NZD |
Employment Change (QoQ) |
0.4% |
0.3% |
0.2% |
|
NZD |
Unemployment Rate |
6.7% |
6.3% |
6.4% |
Economic Events for May 4, 2012 for the Asian and US Markets
12:30 USD Nonfarm Payrolls 170K 120K
Nonfarm Payrolls measures the change in the number of people employed during the previous month, excluding the farming industry. Job creation is the foremost indicator of consumer spending, which accounts for the majority of economic activity.
12:30 USD Unemployment Rate 8.2% 8.2%
The Unemployment Rate measures the percentage of the total work force that is unemployed and actively seeking employment during the previous month.
Government Bond Auctions (this week)
Date Time Country
May 08 09:15 Austria
May 08 09:30 Belgium
May 08 14:30 UK
May 08 15:30 Italy
May 08 17:00 US
May 09 09:10 Sweden
May 09 09:30 Germany
May 09 09:30 Swiss
May 09 09:30 UK
May 09 14:30 Sweden
May 09 15:30 Italy
May 09 17:00 US
May 10 15:00 US
May 10 17:00 US
May 11 09:10 Italy BOT auction
May 11 10:00 Belgium
Click here for further USD/CNY Forecast.
Originally posted here
