The last trading week for November 2017 in the forex market starts with a very light economic calendar. There is only economic data related to the economy of Italy and the US, so expected volatility and price action for the majority of currency pairs is expected to be low to moderate. Range-bound trading due to the absence of new important economic news is most probably expected for today.
These are the main economic events to focus on today in the forex market
European Session
- Italy Consumer Confidence and Business Confidence
Time: 09:00 GMT
Higher than expected or rising figures for consumer and business confidence are positive and supportive for the economy of Italy and the Euro, reflecting increased spending, and future economic growth measured by the GDP. The forecast for the consumer confidence is for an increase with a figure of 116.4, higher than the previous reading of 116.1.
American Session
- US New Home Sales, Dallas Fed Manufacturing Index, Fed Kashkari Speech
Time: 15:00 GMT, 15:30GMT, 23:30 GMT
New home sales are an important economic figure measuring the growth of the housing market, and signaling level of optimism about the current and future economic conditions by the consumers. Housing industry is one of the pillars of the American economy. Lower home sales inevitably lead to decreasing construction activity in the country. Real estate market is tightly connected to the economic conditions. A higher than expected reading should be taken as bullish for the USD, while a lower than expected reading should be taken as bearish for the USD.
The forecast is for a figure of 625K, lower than the previous figure of 667k. Dallas Fed Manufacturing Index is a monthly outlook survey conducted by the Federal Reserve Bank of Dallas, to assess the manufacturing and business activity of the state. Again, higher than expected reading should be taken as positive/bullish for the US Dollar while a lower than expected reading should be taken as negative/bearish for the US Dollar.
A speech from a a central bank official is always an important event, as forex market participants, traders, and analysts will analyze statements related to monetary policy or economic conditions, which can have an influence on the US Dollar.
