The market in gearing up to a new week and a new month, after an exciting end to last week’s trading.
After days of relative quietness, the dollar made a big move on Thursday, with the USD index gaining over 1% through the last 2 trading days of the week. The EUR/USD erased large gains, dropping to monthly lows around 1.119, following a near 200 pips drop on Thursday. USD/JPY also climbed strongly, rallying about 100 pips up to 119.6.
February was Wall-Street’s best month since 2011, with the S&P gaining 5.5%. The market’s steady rise with low volatility, combined with a sharp decent of the VIX “fear” index, dropping around 25% during the month, reflects the market’s over-all content with the ECB growth stimulating measures In Europe, alongside relative calmness in OIL prices.
Key Market data this week:
Monday – March 2nd:
01:45 – CNY: Manufacturing PMI.
08:55 – EUR: German Manufacturing PMI
09:00 – GBP: Manufacturing PMI
10:00 – EUR: CPI.
15:00 – USD: Manufacturing PMI.
Tuesday - March 3rd:
03:30 – AUD: Interest Rate Decision.
09:30 - GBP: Construction PMI.
13:30 – CAD: GDP
Wednesday – March 4th:
00:30 – AUD: GDP.
09:30 - GBP: Service PMI
15:00 – USD: Non-Manufacturing PMI.
15:00 – CAD: Interest Rate Decision.
Thursday- March 5th:
00:30 – AUD: Retail Sales.
12:00 – GBP: Interest Rate Decision
12:45 – EUR: Interest Rate Decision
15:00 – CAD: Ivy PMI.
Friday, March 6th:
13:30 – USD: Non-Farm Payrolls.