Economic Calendar | October 25 – 29

Monday, October 25

The week starts again with an empty macroeconomic calendar. Market participants may be interested only in the IFO business climate index in Germany in October. As well as speeches by several representatives of the Bundesbank.

Tuesday, October 26

Tuesday is also almost empty for economic publications. Nothing important will be published on this day, except for some statistical data on the USA. But they are exclusively secondary in nature. For example, the housing price index should grow from 19.9% to 20.1%, and new home sales – by 1.0%. These indicators have little effect on anything, so Tuesday's trading day will be characterized by a calm character.

Wednesday, October 27

What can not be said about the environment. On Wednesday, data on inflation in Australia are published, which may provoke a rapid growth of the Australian dollar. After all, inflation should slow down from 3.8% to 2.8%, which is an exceptionally positive factor.

Not only the Australian dollar will grow on Wednesday, but also other currencies, as the US dollar may weaken significantly due to data on orders for durable goods (a decrease of 0.3% is expected).

The only exception may be the Canadian dollar in connection with the results of the meeting of the Board of the Bank of Canada. The Canadian regulator is likely to remain silent on plans to tighten its monetary policy, which will put pressure on the exchange rate of the national currency.

Thursday, October 28

The main event of Thursday and the whole week will be the meeting of the Board of the European Central Bank. There is a high probability that, following the US Federal Reserve and the Bank of England, the European regulator will also announce the timing of raising interest rates and curtailing the quantitative easing program. If this happens, the euro will start to grow rapidly, pulling other currencies along with it. However, if the ECB does not say anything again, the trend towards strengthening the dollar will continue.

In the evening, the United States will present data on GDP for the third quarter, as well as statistics on the number of initial applications for unemployment benefits.

Friday, October 29

However, on Friday, the single European currency will still have to decline after the release of statistics on inflation in Europe, which should accelerate from 3.4% to 3.7%. Moreover, the pace of economic growth in Europe may slow down from 14.4% to 4.0% (and this is at best).

Analysts believe that the euro will pull other currencies along with it, so the end of the week will be marked by an impressive increase in the US dollar.