Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Canadian Consumer Prices, Fed Speakers On Deck For Friday

Published 04/20/2018, 02:38 AM
Updated 02/20/2024, 03:00 AM

North American releases will headline a moderately active session on Friday, giving investors more time to parse through corporate earnings and geopolitical developments. A meeting of the International Monetary Fund (IMF) may also produce tangible headlines.

In terms of economic data, action begins at 06:00 GMT with a report on German producer inflation. Germany’s producer price index (PPI) likely rose 0.2% during the month of March, which translates into a year-over-year gain of 2%. PPI fell 0.1% in February.

On the monetary policy front, Bank of England (BOE) official Michael Saunders will deliver a speech at 09:30 GMT.

Shifting gears to North America, the Canadian government will report on retail sales and consumer inflation at 12:30 GMT. The retail sales report is likely to show growth of 0.3% for February after a similar gain the month before. Excluding fuel sales, retail receipts are forecast to rise by a similar amount. Retail receipts are a proxy for consumer spending and are therefore closely watched by the financial markets.

Canada’s report on consumer inflation is expected to show growth of 0.4% in March after a gain of 0.6% the month before. In annual terms, this translates into growth of 2.2%.
The North American session will also see the release of the Eurozone consumer confidence report. The monthly indicator, which is released by the European Commission, is expected to show a decline to -0.2 in April from +0.1 in March.

A pair of Federal Reserve officials will also be in the headlines on Friday. Charles Evans of the Chicago Fed and John Williams of San Francisco are scheduled to deliver speeches in the morning. Williams is also a member of this year’s Federal Open Market Committee (FOMC), which voted to raise interest rates last month.

EUR/USD

Europe’s common currency failed to extend its recovery on Thursday, with prices falling back toward the low-1.2330 region. EUR/USD was last seen trading at 1.2340, where it was down 0.1% from the previous close. The pair is testing immediate support at 1.2330. On the opposite side of the spectrum, resistance is likely found at 1.2400.
EUR/USD Chart

USD/CAD

The Canadian dollar bounced off its recent lows on Thursday to return above 1.2600. The USD/CAD exchange rate would add another 70 pips to trade near 1.2670. Canadian retail sales and CPI data will likely determine the pair’s next move, although recent price action suggests further gains are in store.
USD/CAD Chart

GBP/USD

Cable extended its downside on Thursday, with prices falling around 150 pips. The pair broke beneath 1.4100 and was last seen trading at 1.4074. GBP/USD faces immediate support at 1.4035. On the opposite side of the ledger, resistance is seen at 1.4120.
GBP/USD Chart

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.