The week ahead has many a fundamental news release and events to look forward to, and the numerous trading opportunities they create. Let us take a look at our top 3 picks:
1. Tuesday is considering the release of the inflation report in the UK, which will outline the views of the Bank of England on the current state of inflation and growth in the UK economy. The stock indices of GBP and UK are volatile during the publication of the report, which, if it is significant enough, will lead to a long-term asset movement. If the report shows that the UK economy is growing and inflation is at least stable to growth, we will see a positive impact on the pound, while the report that the UK economy is cooling will lead to a pound sale.
2. The minutes of the FOMC meeting should be published on Wednesday. The release occurs 8 times a year and is a detailed account of the last meeting of the FOMC, which sets out the reasons for recent monetary policy decisions that give them an idea of the factors that they took into account before deciding to postpone any changes in this case. The factors they have outlined will be thoroughly studied, as the markets believe that improvement in the areas covered by the FOMC would mean an approximation to the rate increase, or vice versa, should relate to the factors worsening. In general, the minutes of meetings will serve as a guide for which economic output and indicators should track progress.
3. On Friday, the main orders for durable goods from the United States are expected to be released. This figure represents a change in the total value of new purchase orders placed by producers on durable goods, excluding transport units, and is considered as the leading indicator of production, as an increase in orders will lead to an increase in output, which will signal a strengthening of the economy Thus, in a better than expected release, there will be a strengthening of the US dollar as the price of trades in the potential to improve the economy, while worse than expected The weakening of the dollar will weaken, as the auctions are preparing for a possible drop in the US economy.