Analysis and Recommendations: The GBP/USD dipped 35 points to trade at 1.5383 as the US dollar rallied weighing on the UK currency and a report on
The GBP/USD dipped 35 points to trade at 1.5383 as the US dollar rallied weighing on the UK currency and a report on construction was lower than the previous month. The Markit/CIPS construction purchasing managers’ index declined from 59.9 in September to 58.8 last month, in line with analysts’ expectations and comfortably above the 50 threshold that signals expansion. Housing activity growth eased from September’s 12-month high and the latest rise in civil engineering was the slowest since May, while commercial building work increased at the sharpest pace for eight months. “This is still a largely robust survey, despite the headline construction activity index edging back in October from a seven-month high in September,” said Howard Archer, chief UK and European economist at IHS Global Insight. “In fact, the headline activity index was still at a high level in October that is consistent with strong construction expansion.”
The report follows Monday’s impressive UK manufacturing PMI which rose from an upwardly revised 51.8 in September to a 16-month high of 55.5 last month, exceeding analysts’ expectations for a 51.3 reading. The Bank of England is closely monitoring UK data ahead of Thursday’s policy decision. Analysts expect no change to interest rates or the asset purchase program amid low inflation and risks stemming from the slowdown in emerging markets.
FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports.
Today’s economic releases:
Cur. |
Imp. |
Event |
Actual |
Forecast |
Previous |
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Japan – Culture Day |
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AUD |
Interest Rate Decision (Nov) |
2.00% |
2.00% |
2.00% |
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AUD |
RBA Rate Statement |
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GBP |
Construction PMI (Oct) |
58.8 |
58.8 |
59.9 |
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NZD |
GlobalDairyTrade Price Index |
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-3.1% |
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USD |
Factory Orders (MoM) (Sep) |
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-0.9% |
-1.7% |
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EUR |
ECB President Draghi Speaks |
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Upcoming Economic Events that you should be monitoring:
Wednesday, November 4, 2015
Cur. |
Event |
Actual |
Forecast |
Previous |
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USD |
API Weekly Crude Oil Stock |
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4.100M |
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NZD |
Unemployment Rate (Q3) |
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6.0% |
5.9% |
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AUD |
Retail Sales (MoM) (Sep) |
|
0.4% |
0.4% |
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AUD |
Trade Balance (Sep) |
|
-3.000B |
-3.095B |
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CNY |
Caixin Services PMI (Oct) |
|
50.8 |
50.5 |
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GBP |
Halifax House Price Index (MoM) |
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-0.7% |
-0.9% |
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EUR |
German Services PMI (Oct) |
|
55.2 |
55.2 |
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EUR |
ECB President Draghi Speaks |
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USD |
FOMC Member Brainard Speaks |
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USD |
ADP Nonfarm Employment Change |
|
180K |
200K |
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USD |
Trade Balance (Sep) |
|
-41.10B |
-48.30B |
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USD |
Services PMI (Oct) |
|
54.6 |
54.4 |
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USD |
Fed Chair Yellen Testifies |
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USD |
Crude Oil Inventories |
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|
3.376M |
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USD |
FOMC Member Dudley Speaks |
Government Bond Auctions
Date Time Country
Nov 03 10:10 Austria Holds RAGB bond sale
Nov 04 15:30 Sweden Announces details of Bond on 11 Nov
Nov 04 N/A Holland Announces details of Bond on 10 Nov
Nov 05 09:30 Spain Auctions Bonos
Nov 05 09:50 France Auctions OATs
Nov 05 10:03 Sweden Holds I/L bond auction
Nov 09 12:00 Norway Details bond auction on 11 Nov
Nov 09 15:30 Italy Announces details of BTPs/CCTeu on 12 Nov
Nov 09 N/A US Holds 3-year note auction
Nov 10 10:30 UK 0.125% 2058 I/L Gilt auction
Nov 10 N/A Holland Eur 2.0-3.0bn 0% Apr 2018 DSL
Nov 10 N/A US Holds 10-year note auction
Nov 11 10:03 Sweden Holds bond auction
Nov 11 11:15 Norway Holds bond auction
Nov 11 10:30 Germany Eur 3bn 0.25% Oct 2020 Bobl
Nov 12 10:10 Italy Auctions BTPs/CCTeus
Nov 12 10:30 UK 4.25% 2039 Gilt auction
Nov 12 N/A US Holds 30-year bond auction