By FXEmpire.com
USD/CAD Fundamental Analysis April 3, 2012, Forecast
Analysis and Recommendations:
The USD/CAD climbed as high as 0.9990 in early morning trading and is currently exchanging at 0.9915 as the USD lost some ground on the CAD, as investors moved to a bit more risk and also begin to position before Tuesdays FOMC minutes.
The ISM Economic research indicates that measures of global output may be behind the recent strength in U.S. inflation, said James Bullard, the president of the St. Louis Federal Reserve Bank. Bullard made the remarks in a speech.
The manufacturers report is considered a gauge that measures the strength of the manufacturing sector, produced by the Institute for Supply Management, rose to 53.4% last month from 52.4% in February. Reading over 50% indicates that more manufacturers are expanding than contracting.
Economic research indicates that measures of global output may be behind the recent strength in U.S. inflation, said James Bullard, the president of the St. Louis Federal Reserve Bank. Bullard made the remarks in a speech.
A gauge that measures the strength of the manufacturing sector, produced by the Institute for Supply Management, rose to 53.4% last month from 52.4% in February. Reading over 50% indicates that more manufacturers are expanding than contracting.
There is little in the way of economic news in the early part of the week to support the CAD.
Economic Data for April 2, 2012 actual v. forecast
|
00:00 |
KRW |
South Korean CPI (YoY) |
2.6% |
3.1% |
3.1% |
|
00:50 |
JPY |
Tankan Large Manufacturers Index |
-4 |
-1 |
-4 |
|
02:30 |
AUD |
Building Approvals (MoM) |
-7.8% |
0.3% |
1.1% |
|
06:05 |
INR |
Indian Trade Balance |
-15.2B |
-13.0B |
-14.8B |
|
08:00 |
DKK |
Danish Retail Sales (YoY) |
-0.5% |
-1.7% |
-3.3% |
|
08:15 |
CHF |
Retail Sales (YoY) |
0.8% |
3.2% |
4.7% |
|
08:30 |
CHF |
SVME PMI |
51.1 |
49.5 |
49.0 |
|
08:50 |
EUR |
French Manufacturing PMI |
46.7 |
47.6 |
47.6 |
|
08:55 |
EUR |
German Manufacturing PMI |
48.4 |
48.1 |
48.1 |
|
09:00 |
EUR |
Manufacturing PMI |
47.7 |
47.7 |
47.7 |
|
09:30 |
GBP |
Manufacturing PMI |
52.1 |
50.5 |
51.5 |
|
10:00 |
EUR |
Unemployment Rate |
10.8% |
10.8% |
10.7% |
|
15:00 |
USD |
ISM Manufacturing Index |
53.4 |
53.0 |
52.4 |
Economic Events scheduled for April 3, 2012 that affect the European and American Markets
T.B.D GBP Halifax House Price Index (MoM) -0.3% -0.5%
The Halifax House Price Index measures the change in the price of homes and properties financed by Halifax Bank of Scotland (HBOS), one of the U.K.’s largest mortgage lenders. It is a leading indicator of health in the housing sector.
10:00 EUR GDP (QoQ) -0.3% -0.3%
Gross Domestic Product (GDP) measures the annualized change in the inflation-adjusted value of all goods and services produced by the economy. It is the broadest measure of economic activity and the primary indicator of the economy’s health.
19:00 USD FOMC Meeting Minutes
The Federal Open Market Committee (FOMC) Meeting Minutes are a detailed record of the committee’s policy-setting meeting held about two weeks earlier. The minutes offer detailed insights regarding the FOMC’s stance on monetary policy, so currency traders carefully examine them for clues regarding the outcome of future interest rate decisions.
Government Bond Auctions (this week)
Apr 03 09:30 Belgium Auctions 3 & 6M T-bills
Apr 03 09:30 UK Conventional Gilt Auction
Apr 04 08:30 Spain Bono auction
Apr 04 14:30 Sweden Details T-bill auction on Apr 11
Apr 05 08:50 France OAT auction
Apr 05 15:00 US Announces auctions
Apr 05 15:30 Italy Details BOT on Apr 11 & BTP/CCTeu on Apr 12
Originally posted here
