The data diary for the US is light this week, in the run up to the Thanksgiving holiday, but some key announcements include Tuesday’s home construction figures and the Jobless Claims report due on Thursday. Housing starts showed a drop for September, which was hoped to be a temporary blip, so those keeping a close eye on the US markets will have been relieved to see a significant rebound this time around, with building permits up to the highest level since 2007.
The week started slowly on the data and economic front, with Veterans Day in the USA and a number of public holidays across the globe to remember those we lost in past conflicts. This didn’t stop currency or stock markets from moving, however, or indeed stop politics from influencing these market movements.
The Bank of England publishes its latest Monetary Policy Committee (MPC) Minutes on Thursday, along with a report on monetary policy, in place of the usual quarterly inflation report. Markets do not expect much change in the UK’s inflation data, but expectations are growing of a decrease in interest rates. Whether this will be at Thursday’s meeting or the next is the question. Either report from the UK’s central bank could help or hinder the Pound, however, so markets will be watching for a range of signals and economic indicators on Thursday.
Trick or treat? There should be plenty of both this week and it should be a busy one for currency markets, with no fewer than three important central bank meetings and a raft of important economic data worldwide, including Gross Domestic Product (GDP), employment figures and consumer confidence indices. On the other side, Friday brings a new month and with it a raft of Purchasing Managers Indices (PMI), always watched for economic indicators and meaningful nuggets for the markets.