Economic Events:
07:00 GBP Nationwide HPI (MoM) -0.1% -0.2%
The Nationwide Housing Price Index (HPI) measures the change in the selling price of homes with mortgages backed by Nationwide. It is the U.K.’s second earliest report on housing inflation.
A higher than expected reading should be taken as positive/bullish for the GBP, while a lower than expected reading should be taken as negative/bearish for the GBP.
08:15 CHF Retail Sales (YoY) 1.6% 1.8%
Retail Sales measure the change in the total value of inflation-adjusted sales at the retail level. It is the foremost indicator of consumer spending, which accounts for the majority of overall economic activity.
A higher than expected reading should be taken as positive/bullish for the CHF, while a lower than expected reading should be taken as negative/bearish for the CHF.
08:30 CHF SVME PMI 51.8 50.7
The Schweizerischer Verband f?r Materialwirtschaft und Einkauf (SVME) Purchasing Manager’s Index (PMI) measures the activity level of purchasing managers in the manufacturing sector. A reading above 50 indicates expansion in the sector; a reading below 50 indicates contraction. Traders watch these surveys closely as purchasing managers usually have early access to data about their company’s performance, which can be a leading indicator of overall economic performance.
A higher than expected reading should be taken as positive/bullish for the CHF, while a lower than expected reading should be taken as negative/bearish for the CHF.
08:50 EUR French Manufacturing PMI 48.5 48.5
08:55 EUR German Manufacturing PMI 50.9 50.9
09:00 EUR Manufacturing PMI 48.7 48.7
09:30 GBP Manufacturing PMI 50.1 49.6
The Manufacturing Purchasing Manager’s Index (PMI) measures the activity level of purchasing managers in the manufacturing sector. A reading above 50 indicates expansion in the sector; a reading below 50 indicates contraction. Traders watch these surveys closely as purchasing managers usually have early access to data about their company’s performance, which can be a leading indicator of overall economic performance.
A higher than expected reading should be taken as positive/bullish for the EUR or GBP, while a lower than expected reading should be taken as negative/bearish for the EUR or GBP.
10:00 EUR CPI (YoY) 2.7% 2.7%
The Consumer Price Index (CPI) measures the change in the price of goods and services from the perspective of the consumer. It is a key way to measure changes in purchasing trends and inflation.
A higher than expected reading should be taken as positive/bullish for the EUR, while a lower than expected reading should be taken as negative/bearish for the EUR.
EUR/CHF Fundamental Analysis Feb 1, 2012, Forecast
Analysis and Recommendations:
EUR/CHF is trading 1.2037 The Swissie was almost unchanged against the euro til late afternoon when the euro began to plunge dropping from a high of 1.2063 The euro continues to slip against the all trading partners.
Greece seems to be forgotten, maybe no news is good news. As Portugal steps forward, investors remained wary as the yield on Portugal’s 10-year government bonds stayed close to Monday’s euro-era highs at 16%, fuelling concerns that Lisbon may need a debt restructuring deal similar to Greece’s.
In Europe today economic data was fairly weak and disappointing, with the only bright spot was an improvement in German unemployment dropping unexpectedly.
German Unemployment Change -34K; better than expected.
SNB currency reserves at CHF 257.5 bln for the end of December.
French Consumer Spending (Dec) -0.7%; worse than expected.
French Producer Prices (Dec) -0.1%, as expected.
Barclays raises their 6 month AUD/USD forecast from 1.0100 to 1.0500.
Swiss UBS consumption indicator (Dec) 0.92 vs 0.81 prior reading.
Scheduled Sovereign Bond Sales
Feb 01 10:10 Sweden Auctions T-bills
Feb 01 10:30 Germany Eur 5.0bn 2.0% Jan 2022 Bund
Feb 01 10:30 Portugal Eur 0.75-1.0bn 3M T-bill
Feb 01 10.30 UK Auctions 5.0% 2025 conventional Gilt
Feb 01 15:30 Sweden Details nominal bond auction on Feb 08
Feb 01 16:00 US
Announces details of 3Y Notes on Feb 07, 10Y Notes on Feb
08 & 30Y Bonds on Feb 09
Feb 02 09:50 France OAT Auction
Feb 02 10.30 UK Auctions 0.125% 2029
Originally posted here
