As geopolitical tension increase and as the trade war the US started with China is turning into a tech war, Gold is attracting bids as forex traders seek safe have from the turmoil in financial markets. Economic data released around the world is also showing a steeper than expected slowdown which has increased recession fears. A growing number of calls for the global economy to contract have emerged with some analysts pointing out that a recession could materialize in as little as three quarters. Despite the increase in overall risk, online...
The economic calendar of the first trading day of the new week looks pretty dense in the Asian session. Production figures of Australia and Japan provide the direction of the market at the moment. The smallest impact was made by Japanese investment data in the 1st quarter and the gross operating profit of Australian companies. In Australia, the AIG Manufacturing PMI fell from 54.8 to 52.7 in May. The production index decreased by 6.9 points to 51.2, while the index of new orders fell by 3.3 points to 52.3. Exports and sales also...
The USDCHF has been descending since the start of May and forex traders will get a double dose of US manufacturing data today which will include the key ISM Manufacturing Index. The prices paid and employment sub-indexes will be closely watched as the headline figure is expected to show an improvement over April. Economists further anticipate that construction spending rebounded from last month’s slump and that vehicle sales increased. Will economists be correct with their assessment and how will this impact the US Dollar? Today’s fundamental...
Economic data released out of Australia this morning showed a further decrease in its manufacturing sector as well as a plunge in job advertisements and a further deterioration of house prices. This caused inflationary pressures to ease. Inventories rose as company profits decreased, but the Australian Dollar was able to advance as a report showed that the Chinese manufacturing sector performed better than expected. The AUDJPY was able to move higher from strong support levels as Chinese data trumps domestic data for the time being due to the...
Here are the key factors to keep in mind today for US Dollar trades: US Personal Income and Personal Spending: US Personal Income for April is predicted to increase by 0.3% monthly and Personal Spending is predicted to increase by 0.2% monthly. Forex traders can compare this to Personal Income for March which increased by 0.1% monthly and to Personal Spending which increased by 0.9% monthly. Real Personal Spending for April is predicted to decrease by 0.1% monthly. Forex traders can compare this to Real Personal Spending for March which...
