Last week the US dollar fell to a three-year low against many currencies as low yields were coupled with concerns over U.S. monetary and fiscal policy. At the same time, broad dollar weakness pushed the Swiss franc to an all-time high and the yen close to a one-month high.
Despite the continued chance of debt restructuring in Greece which threatens to wreak havoc on the regional economy, the Euro rallied to a 16-month high against the US dollar as speculation increased that the ECB will continue to raise interest rates this year.
Although last week’s trading was shortened due to Good Friday, this week’s global economy may fluctuate greatly as several upcoming events may impact the major currency pairs. Among the events to keep an eye on are:
Continued close of the markets in Australia, New Zealand and Europe for an extended Easter holiday today, Monday, April 25.
On Tuesday, April 26, Australia is scheduled to publish information about its economic indicators, which should offer an insight into the direction of AUD based Forex currency pairs.
On Wednesday, April 27, US Fed Chairman Ben Bernanke will hold a press conference which follows the banks’ rank-setting meeting.
On Thursday, April 28, the Bank of Japan will once again address the disasters that have shaken the country and will likely suggest additional measures of protection.
On April 29, Germany is expected to publish information about consumer price index and unemployment rates both within its borders and in the wider Eurozone.