USDINDEX: Set To Extend Recovery!
As long as 94.54 support holds on a weekly closing basis, the U.S dollar index remains in recovery mode and further upside couldn’t be ruled out to the 96.28 levels. Above that level will turn the focus on the 97.68 levels, further upside, resistance comes at the 98.65 levels.
On the downside, below 94.54 should weaken the corrective recovery and pave the way to the 93.38/92.75 levels before another rise…
Conclusion: The USD Index sees recovery threats above 94.54 levels.
In the week ahead, Investors will be looking to Thursday’s highly-anticipated U.S Consumer inflation for further indications on the strength of the U.S economy, which should give a clearer indication about inflation as well as hits about the possibility of Federal Reserve rate hikes through the end of the year.
This is a list of the most important economic news for the week:
1- U.K GDP
The U.K will publish economic growth figures for August on Wednesday at 08:30 GMT. The U.K economy is expected to expand by 0.1% easing from July’s 0.3%, amid uncertainty about Brexit.
At the same time, the U.K will also report on Manufacturing Production for Aug. The indicator is expected to rise 0.1%, from -0.2% a month earlier.
2- U.S Producer Price Index
The U.S will report on Producer Price Index for Sep on Wednesday at 12:30 GMT. The indicator is expected to rise 0.2%, from -0.1% in the previous month.
3- U.S Inflation Data
The U.S will report on consumer price index for Sep on Thursday at 12:30 GMT. The indicator is expected to remain unchanged at 0.2% as the previous month.
Core CPI is expected to rise 0.2%, from 0.1% in the preceding month.
4- Fed Speakers
- FOMC Member Williams Speaks on Wednesday at 01:15 GMT and 02:35 GMT
- FOMC Member Bostic Speaks on Wednesday at 22:00 GMT
- FOMC Member Bostic Speaks on Friday at 16:30 GMT.
The Fed raised interest rates late last month, raising its third interest rate this year, and is expected to follow another increase before the end of December, bringing the federal funds rate to 2.25-2.50%.
You can follow the rest of the week’s economic events by visiting: