The Dollar is on the move early on, with economic data from the UK and the U.S in focus later. Late in the day, the FOMC meeting minutes will also draw attention.
It’s was a relatively quiet start to the day on the economic calendar this morning. While the China markets were closed, the Japanese Yen was in action in the early hours.
In January, Japan’s trade balance fell from a ¥749.6bn surplus to a ¥323.9bn deficit. Economists had forecast a deficit of ¥600.0bn.
According to figures released by the Ministry of Finance,
The Japanese Yen moved from ¥106.024 to ¥106.06 upon release of the figures. At the time of writing, the Japanese Yen was down by 0.02% to ¥105.36 against the U.S Dollar.
At the time of writing, the Aussie Dollar was down by 0.15% to $0.7746, with the Kiwi Dollar down by 0.26% to $0.7196.
It’s a particularly quiet day ahead on the economic calendar. There are no material stats due out of the Eurozone to provide the EUR with direction.
With little else to consider, expect car registration figures for January will draw some attention.
At the time of writing, the EUR was down by 0.12% to $1.2091.
It’s a relatively busy day ahead on the economic calendar. January inflation figures are due out later today.
With the UK government making progress on the vaccination front, optimism towards the UK economic recovery has improved. A pickup in inflationary pressures would provide further upside for the Pound.
At the time of writing, the Pound was down by 0.22% to $1.3873.
It’s a busy day ahead on the economic calendar. Key stats include retail sales, industrial production, and wholesale inflation figures.
Expect January’s retail sales figures to have the greatest influence on the Dollar and market risk sentiment.
On the monetary policy front, the FOMC meeting minutes late in the U.S session will also draw attention. The minutes will need to be aligned with FED Chair Powell’s assurances of lower for longer…
At the time of writing, the Dollar Spot Index was up by 0.24% to 90.728. A jump in U.S Treasury yields supported by expectations of a pickup in inflationary pressures supported demand for the Dollar.
It’s a relatively quiet day on the economic data front. January inflation figures are due out late in the day.
While we will expect the numbers to influence, crude oil inventory numbers will also provide direction in the day.
At the time of writing, the Loonie was down by 0.15% to C$1.2709 against the U.S Dollar.
For a look at all of today’s economic events, check out our economic calendar.
With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.