Partner Center Find a Broker

Strong data and positive trade updates boosted the Greenback last week. Can this week’s catalysts extend its rallies?

Here’s a list of market events you should pay attention to:

Powell’s testimonies

  • The Fed head honcho will talk economy before the Joint Economic Committee on Wednesday and House Committee Budget on Thursday. The first day usually triggers more volatility for USD pairs
  • Powell is expected to stress a pause in easing after cutting rates thrice this year
  • Watch out for Powell’s opinions on a “phase one” deal with China and the Fed’s balance sheet plans

CPI (Nov 13, 1:30 pm GMT)

  • Monthly consumer prices were unchanged in September after a 0.1% gain in August, as strong food inflation was offset by lower energy prices
  • Annual inflation rate was unchanged at 1.7%, below estimates of 1.8% increase
  • Core inflation rate was also flat at its one-year high of 2.4%
  • Analysts see monthly CPI gaining by 0.3% in October, while annualized data might remain at 1.7%
  • Core CPI could register a 0.2% uptick for the month

PPI (Nov 14, 1:30 pm GMT)

Retail sales (Nov 15, 1:30 pm GMT)

  • Retail trading dipped by 0.3% in September, its biggest drop in seven months, after seeing 0.6% gain in August
  • Lower sales of motor vehicle, building materials, hobbies, and online purchases dragged the figures lower
  • The disappointing report, together with doubts that China would purchase more U.S. agricultural products, dragged USD lower
  • Market players see headline retail sales come in at 0.1% in October
  • Core retail sales could print a 0.4% gain after slipping by 0.1% in September

U.S.-China trade updates

  • Markets will see if the Trump administration can soften its stance over rolling back (even partially) its tariffs on Chinese products
  • Many believe that a rollback of existing tariffs is key in signing a “phase one” trade deal with China
  • The next round of tariffs is scheduled to kick in on December 15

Technical Snapshot

  • Both Stochastic and Williams %R are flagging USD as “overbought” against EUR, GBP, CHF, and CAD
USD Oscillators from MarketMilk
USD Oscillators from MarketMilk
  • USD is bullish against EUR and CHF across short and long-term SMAs
  • USD/CAD is slowly turning bullish. Watch for a possible trip above the 200 SMA!
  • USD is still bearish against GBP in the longer-time frames, but is seeing green shoots in the shorter time frames. Is GBP/USD ready for a longer-term reversal?
USD MAs from MarketMilk
USD MAs from MarketMilk

Missed last week’s price action? Read USD’s price recap for Oct. 28 – Nov. 1!