Crucial UK employment data & US interest rates today
March 21, 2018
Europe Market Movements
Employment data is the major concern of GBP traders today as the markets await the UK’s Average Earnings and Employment Rate data this morning. In Europe, the German ZEW dropped to 5.1 in March, from 17.8 and the Eurozone ZEW also fell from 29.3 to 13.4. The EUR fell accordingly, trading this morning at 1.22.86 against the USD.
US Market Movements
Traders are cautious this morning, pending the FOMC rate decision. A rate hike is expected today, but the question is, how many such increases will we face this year? The CAD is trading higher today against the USD, lifted by positive news from the NAFTA talks. Traders are wondering how the pair will move on the release of the interest rate data.
Asia/Oceania Market Movements
The US President is expected to announce trade tariffs against Chinese goods, tomorrow, in what will most probably be the first shot in a global trade war. China is one of Australia’s biggest trading partners, so the Aussie is bound to react. Asian markets have closed mixed today, pending the American Fed Reserve news with the NIKKEI down by 0.47%, the Australian S&P/ASX 200 down by 0.43%, the Kospi by 0.01% and Shanghai falling by 0.27%. Be online today to trade 18:00 GMT.
USD movement was a boost for Gold traders, with the precious yellow metal gaining in value today. Experts point out that Gold is sensitive to both USD movement and to US rate hikes. Good news also for Crude traders, with WTI up by 0.19% and Brent gaining 0.18%. Oil prices were supported by the API data yesterday which showed that stocks fell by 2.7 million barrels.
|09:30 GMT||GBP: Average Earnings|
|18:00 GMT||USD: Fed Reserve Interest Rate Decision|
|20:00 GMT||NZD: RBNZ Rate Statement|
For this week’s complete economic calendar, click here.