Ahead of a shortened week due to Thanksgiving, traders will focus on the fundamental data that will impact the next FOMC decision. Economists worry that the economy is heading into recession after the Leading Economic Indicators index dropped 0.8% as the conditions further deteriorated in October. That follows a 0.5% drop in September. It looks like the inflation has peaked but we can’t estimate if and when will come down, and Fed has assured that will stick with high-interest rates until the inflation goes down.
Investors’ focus will turn on the CPI data for November released on December 13 and the jobs report for November due on December 2; both figures will have a major impact on equities and forex markets.
On Monday there is no important announcement so the focus will be on corporate earnings.
Monday, November 21
Monday’s earnings reports: A DELL ZM SJM URBN
Tuesday, November 22
On Tuesday, Eurozone will report The November Consumer Confidence Flash and the Current Account for September.
USDCAD traders would focus on the Retail Sales for September in Canada.
Tuesday’s earnings reports: BHP MDT ADI VMW ADSK DLTR BIDU HPQ BBY WMG DKS JWN ANF
Wednesday, November 23 – PMI
Wednesday is a PMI day in Eurozone. In Germany, the November S&P Global Manufacturing, Service and Composite Flash PMI and the Eurozone data respectively.
France will report the November S&P Global Composite Flash PMI.
From the UK we will focus on S&P Global Manufacturing, Service and Composite Flash PMI for November.
In USA, the Durable Goods for October is expected at 0.3, the previous reading was at 0.4. The S&P Global Composite Flash PMI and the October New Home Sales –Units will also be reported. The University of Michigan Sentiment Final for November is expected at 54.7 the same as the previous month’s reading.
Fed will release the FOMC Minutes.
The Reserve Bank of New Zealand will announce its interest rate decision with analysts now split if the rates will be raised by 75 or 50 basis points.
Wednesday’s earnings reports: DE RADA STG CHEK
Thursday, November 24
On Thursday will be released the Ifo Business climate – Current Conditions and Expectations for November.
The Riksbank is expected to hike interest rates by 75 basis points to 2.50%.
Thursday’s earnings report: CIG CORZ TATT
Friday, November 25
Germany will be in the spotlight again as the GDP for the third quarter will be released, along with the Gfk Consumer Sentiment for December.
Nikolas has been involved in the finance industry for over fifteen years spanning across Europe and USA with a depth of knowledge and experience within many aspects of the financial markets. Nikolas gained several years experience with some of the Europe’s leading Brokers, as equity analyst, and trader managing accounts for both Private and Corporate Investors. He enjoys both the fundamental and technical aspects of trading focusing on stock markets and all FX majors. Currently, Nikolas provides analysis and comments to online financial publications. Educational background in Economics (BSc), and Finance (MSc).