Look ahead: Eurozone producer price index; US trade balance; Conagra
Eurozone inflation figures could prompt volatility in the euro. Look out for US trade balance and initial jobless claims figures ahead of Friday’s NFP. Conagra Brands is expected to report a 2.5% fall in quarterly revenue.
(Partial Video Transcript)
Eurozone PPI data
Angeline Ong: Hello, I'm Angeline Ong and welcome to your “Look ahead” to Thursday, the 4th of April. Now, we begin with eurozone data as the producer price index that could make things a little interesting, especially given we are expecting for February at least a -0.5% month-on-month reading. What is also key is the commentary that could come out from some speakers this week as to whether or not the ECB might move ahead of the Fed in terms of cutting rates. The Fed still seemed likely to make its first rate cuts in June.
US trade balance numbers and initial jobless claims
Speaking of which, we've got trade balance numbers and also initial jobless claims out of the US. Just taking a look at the dollar index for you first, because this is very much tied to that key data that we are waiting for on Friday, which is the non-farm payrolls. Just taking a look at the dollar index for you first, because this is very much tied to that key data that we are waiting for on Friday, which is the non-farm payrolls.
If you search online, you'll see an article by my colleague Chris Beauchamp indicating that he is expecting robust jobs growth in the March employment report. Now, if we do get a hot, hot, hot number, then perhaps we could see further upside for the US dollar. It has been sort of making a sideways rangebound movement there. However, we are looking very closely at the last few sessions because if I draw my line there you can see that there is a potential breakout there. We haven't yet quite seen confirmation of that, but volumes are likely to regain more traders this coming Friday, given we've got that NFP number.
(Watch the video for the full "Look ahead" episode)
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
Start trading forex today
Trade the largest and most volatile financial market in the world.
- Spreads start at just 0.6 points on EUR/USD
- Analyse market movements with our essential selection of charts
- Speculate from a range of platforms, including on mobile
Live prices on most popular markets
- Forex
- Shares
- Indices
