This week can be expected to be more active than last week, with the primary focus certain to fall upon the US Federal Reserve followed by the Bank of Japan and the Royal Bank of New Zealand the following day, as all will be releasing major policy statements and announcing interest rates. The major political area of interest that is likely to result in unscheduled, market-moving breaking news remains the European/Greek crisis, with concern in the market as to whether Greece will be able to strike a deal with its creditors, with a major repayment due at the start of next week. Additionally, there should be heightened speculation regarding the British General Election.
U.S. Dollar
This is going to be a big week for the US Dollar. On Wednesday we will get the FOMC Statement and Federal Funds Rate, as well as Advance GDP data earlier that day. It will be closely monitored by the markets for any additional clues regarding the timing of the anticipated first rate rise in several years. Tuesday will see the release of CB Consumer Confidence data. Thursday will see the announcement of Unemployment Claims numbers and finally on Friday we will end the week with ISM Manufacturing PMI.
Japanese Yen
This is going to be an important week for the Japanese Yen, with the Bank of Japan releasing its monthly Monetary Policy Statement followed by the traditional Press Conference on Thursday. It will be closely monitored by the market for any change to the Bank’s seeming contentment with the current level of the Yen.
New Zealand Dollar
This will be an important week for the Kiwi. Thursday will see the release of the monthly RBNZ Rate Statement and Official Cash rate. This will be closely watched to see if it supports the recent strength this currency has been showing. Earlier in the week there will be Trade Balance and ANZ Business Confidence data releases on Wednesday.
British Pound
There is little scheduled this week, with Tuesday seeing a release of Preliminary GDP data, followed later in the week on Friday will PMI Manufacturing numbers. The General Election campaign will be entering its final week, and any significant shift in the opinion polling could have an impact upon the currency.
Euro
A fairly quiet week ahead, beginning with German Preliminary CPI data on Wednesday, followed by CPI Flash Estimate numbers on Thursday. Friday is a public holiday in the many of the EU member states.
Australian Dollar
This is likely to have a fairly quiet week. Tuesday will see the Governor of the RBA speak at a conference. On Friday there will be a release of PPI data.
Canadian Dollar
On Tuesday and then again on Thursday, the Governor of the Bank of Canada will be testifying in front of the Canadian Parliament. On Thursday, there will also be a release of GDP data.