Foreign exchange market is waiting for very important market movers in December, news from largest economies in the world will shake forex and central banks are expected for monetary policy decisions, Federal Reserve at first.
Here are the 10 best market movers in the last month of 2017:
10) Australian GDP, December 6: main economy indicator is going to have influence on Australian dollar and its pairs: AUD/USD, EUR/AUD and GBP/AUD above all.
9) American trade balance, December 5: forecasts about trade balance in USA are in favor of a prevalence of import against export. The difference between import and export could get worse from -43.5 to -43.8 Billion dollars.
8) PBoC interest rate decision, December 7: People’s Bank of China is going to announce its interest rate decision, current rate is 4.35%, so far from Occidental rates. A change in Chinese interest rate could have impact on renminbi and on Oceanic currencies too, due to the strong link between Chinese and Australian economy.
7) BoC interest rate decision, December 6: Bank of Canada is going to confirm its interest rate at 1%. No changes are expected, but a declaration of a central bank always attracts great attention.
6) SNB interest rate decision, December 14: Swiss National Bank will probably confirm the -0.75% interest rate, unexpected changes may have great impact on USD/CHF and other crosses, influencing stock market too.
5) BoJ interest rate decision, December 21: close to the end of the year, Bank of Japan will release its decision about interest rate. This news could have great impact on Yen, especially on USD/JPY, EUR/JPY and GBP/JPY, influencing Nikkei and Japanese stocks too, strongly export-oriented.
4) ECB interest rate decision, December 14: in the same day, European Central Bank will release its interest rate and deposit rate, probably confirming already existing rates, but the most traded pair EUR/USD could oscillate about 50-70 pips in few minutes, also in case of no-changes in ECB rates.
3) American NFP: non-farm payrolls in USA is always very expected, for its impact on every cross. The high volatility it generates is the reason why lots of people like to trade this news.
2) BoE interest rate decision, December 14: the decision of Bank of England about the interest rate in Great Britain coincides with a lot of news about British economy. The impact on forex is often great, especially in case of unexpected news or rate changes.
1) FED interest rate decision, December 13: Federal Reserve will probably increase the interest rate from 1.25% to 1.50%, according to Yellen’s plan about the monetary policy. This decision could have influence on every cross in forex, conditioning the trends during next weeks. This news could give back strength to the US dollar, but if FED will postpone the increase of the interest rate, USD could collapse in every cross.