- Chinese house prices down 3.7% y/y in Nov
- China’s Beige Book: Economy stabilized in Q4
- German Ifo business climate index and U.K. retail sales due
Looks like dollar bulls went home early after the FOMC party! Major pairs settled in forex ranges for the past few hours, with EUR/USD holding steady around 1.2340 and USD/JPY keeping its head above the 118.50 mark. There were no major reports released in today’s Asian trading session, as markets focused on the medium-tier releases from China.
China’s “Beige Book,” which is published by New York-based CBB International, indicated the world’s second largest economy stabilized in Q4. In fact, the firm noted that signs of a rebound were seen in services, sales, and profits as early as the second half of the year. This spells upbeat prospects for Australia, its number one trade buddy, as AUD/USD is up 0.15% and AUD/JPY is up 0.17%.
Up ahead, the forex calendar shows that a couple of top-tier reports are set to push euro and pound pairs around. The German Ifo business climate index is up for release at 10:00 am GMT and it might show an improvement from 104.7 to 105.6, reflecting a pickup in optimism. Meanwhile, U.K. retail sales are expected to show a 0.3% uptick, a slower pace of increase compared to the previous month’s 0.8% gain. Stronger than expected data could lead to currency appreciation though so make sure you watch out for these events!
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