Australian Dollar
On Tuesday the Reserve Bank of Australia will announce its cash rate and release its Rate Statement justifying its decision. There is a growing expectation that the Bank will cut its cash rate by 0.25% to 2.00%, as it made clear in its previous rate statement that it sees the currency as still overvalued. There have also been signs that the Australian economy is faltering. A failure to reduce the rate will be likely to cause a rally in the AUD, although it might be short-lived. This will be followed by releases of Australian GDP data on Wednesday and Retail Sales and Trade Balance data on Thursday.
Canadian Dollar
On Wednesday the Bank of Canada will announce its overnight rate and release its Rate Statement justifying its decision. No change is expected. This will be followed by releases of Ivey PMI data on Thursday and Building Permits and Trade Balance data on Friday.
British Pound / Euro
On Thursday the Bank of England will announce its official bank rate and release its Monetary Policy Committee’s Rate Statement justifying its decision. No change is expected. There will be near-simultaneous releases of corresponding data by the ECB.
U.S. Dollar
On Friday, the key Non-Farm Employment Change data will be released together with Trade Balance and Unemployment Rate data. This is likely to be the key event of the week giving a direction to the USD. A figure in excess of the consensus expectation is likely to spark a USD rally in the current environment.