Euro Looks to First ECB Meeting Minutes for QE Management Clues
- Euro Looks to First ECB Meeting Minutes Release for QE Dynamics Clues
- US Dollar Down as Markets Trim Fed Rate Hike Bets After FOMC Minutes
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The US Dollar underperformed in overnight trade, falling as much as 0.2 percent on average against its leading counterparts. The greenback’s descent tracked a drop in front-end Treasury yields, pointing to a deteriorating Fed policy outlook as the catalyst behind the move.
As we suspected, investors pared back rate-hike bets after minutes from January’s FOMC meeting showed officials worried about worsening global conditions and expected a stronger currency to be a persistent drag on exports.
The New Zealand Dollar led the way against its US counterpart as an uptick on fourth-quarter PPI figures weighed against RBNZ easing speculation. Indeed, the Kiwi’s advance paced a push higher on front-end borrowing costs.
The release of minutes from January’s ECB policy meeting headlines the economic calendar in European hours. The report will mark the first publication of its kind for the currency bloc’s monetary authority. That makes it somewhat difficult to precisely forecast what kind of information may appear in its pages.
January’s meeting marked the introduction of the ECB’s full-blown QE program. With that in mind, traders will be keen gauge what may lead to the program being expanded or otherwise altered from the initial €60/month effort. Rhetoric opening the door greater accommodation before the initial QE push runs expires in mid-July may weigh on the Euro.
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|21:00||NZD||ANZ Job Advertisements (JAN)||-1.1%||-||2.2%|
|21:45||NZD||PPI Output (QoQ) (4Q)||-0.1%||-||1.1%|
|21:45||NZD||PPI Input (QoQ) (4Q)||-0.4%||-||-1.5%|
|23:50||JPY||Trade Balance Total (¥) (JAN)||-1177.5B||-1681.3B||-665.2B|
|23:50||JPY||Trade Balance Adjusted (¥) (JAN)||-406.1B||-598.1B||-620.7B|
|23:50||JPY||Imports (YoY) (JAN)||-9.0%||-4.9%||1.9%|
|23:50||JPY||Exports (YoY) (JAN)||17.0%||13.5%||12.8%|
|00:00||NZD||ANZ Consumer Confidence Index (FEB)||124.0||-||128.90|
|00:00||NZD||ANZ Consumer Confidence (MoM) (FEB)||-3.8%||-||1.9%|
|00:30||AUD||RBA FX Transactions Other (A$) (JAN)||56M||-||124M|
|00:30||AUD||RBA FX Transactions Gov't (A$) (JAN)||-325M||-||-1193M|
|00:30||AUD||RBA FX Transactions Market (A$) (JAN)||296M||-||1081M|
|04:30||JPY||All Industry Activity Index (MoM) (DEC)||-0.3%||-0.3%||0.0%|
|05:00||JPY||BOJ Monthly Economic Report (FEB)||-||-||-|
|05:00||JPY||Coincident Index (DEC F)||110.7||-||110.7|
|05:00||JPY||Leading Index (DEC F)||105.6||-||105.2|
|05:30||JPY||Tokyo Dept Store Sales (YoY) (JAN)||-||0.3%|
|05:30||JPY||Nationwide Dept Store Sales (YoY) (JAN)||-||-1.7%|
|07:00||CHF||Trade Balance (CHF) (JAN)||1.20B||1.51B||Low|
|07:00||CHF||Imports Real (MoM) (JAN)||-||0.7%||Low|
|07:00||CHF||Exports Real (MoM) (JAN)||-||-3.1%||Low|
|09:00||EUR||Eurozone Current Account s.a. (€) (DEC)||-||18.1B||Low|
|09:00||EUR||Eurozone Current Account n.s.a. (€) (DEC)||-||24.6B||Low|
|11:00||GBP||CBI Trends Total Orders (FEB)||6.0||4.0||Low|
|11:00||GBP||CBI Trends Selling Prices (FEB)||-7.0||-6.0||Low|
|12:30||EUR||ECB Publishes Account of Policy Meeting||-||-||High|
|15:00||EUR||Eurozone Consumer Confidence (FEB A)||-7.5||-8.5||Medium|
|CCY||Supp 3||Supp 2||Supp 1||Pivot Point||Res 1||Res 2||Res 3|
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
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