One of the most important forex news that attracts the attention of global financial markets is the regular meeting of the European Central Bank and the decisions it will take. It is expected to give new indications about the future of European monetary policy, especially in light of the increasing possibilities to reduce the stimulus program that supports the European economy.
In the United States, this week will start with a holiday on Monday due to Labor Day, and during the week it will release data on the growth of the service sector for the month of August, and in China, the second largest economy in the world, data on the trade balance, the rate of imports and exports and other data on monthly inflation rates will be published. For the United Kingdom, data on the growth of the construction sector and the services sector will be released for the month of August, and another report on the growth of the manufacturing sector will be released during the week to measure the extent to which the British economy has improved and the impact of the decision to secede on the local economy. decisions.
Here are the most important forex news on the economic calendar this week:
1. Looking forward to the regular meeting of the European Central Bank and the press conference of ECB President Mario Draghi.
On Thursday, the European Central Bank will unveil the decision of its regular meeting held for two consecutive days, and the bank is expected to maintain interest rates at its current low level at 0.00% without any change, and the results of the meeting will be followed by 45 minutes, a press conference by ECB President “Mario Draghi” His comments are likely to carry clues about the future of Eurozone monetary policy.
The bank will also reveal its new expectations for economic growth rates and inflation rates, amid expectations that show a rise in economic growth and a decline in inflation rates.
2. China announces its report on the trade balance and another report on inflation rates.
On Friday morning, the Commerce Department will release a report on the trade balance, which is expected to reveal a surplus of $48.6 billion in July, compared to the previous record of $45.7 billion.
Data on the volume of Chinese exports for the month of July will also be released, and expectations show an increase in exports by 7.2% if compared to the same month last year, and the report on the volume of imports for the same month will be issued amid expectations showing a rise by 11.0% if compared to the same month last year.
On the other hand, the Chinese economy will release data on inflation rates this week, which appear in the consumer price index and the producer price index for the month of August. Expectations indicate that the consumer price index will rise by 1.6% and the producer price index will rise by 5.4%.
It is worth noting that the Chinese economy achieved a growth of 6.9% during the second quarter, in line with its growth rate during the first quarter, but it exceeded expectations, due to the strong rise in the rate of exports and strong data on industrial production rates and the consumer sector.
3. The US economy will publish its data on the growth of the service sector.
One of the important forex news is the US economy’s release this week of data for the service sector purchasing managers’ index during the month of August, and expectations show that the index rose by 1.4 points to reach the level of 55.3 points, in a good sign of the sector’s growth. The purchasing manager of the manufacturing sector has reached its highest levels since April 2011.
4. The British economy will release a set of important data.
On Monday, the British economy is scheduled to announce its report on the growth of the construction sector for the month of August, amid expectations that the reading will come at a level of 52.0 points, while the month of July recorded a reading of 51.9 points, and on Tuesday, a report on the growth of the services sector will be announced for the same month. Amid expectations that the sector will decline to reach the level of 53.5 points, while it recorded in July a reading of 53.8 points.
5. Awaiting the decisions of the Central Bank of Canada.
The Central Bank of Canada will reveal its interest rate decisions on Wednesday, and most estimates are that the bank will hold rates from the current level of 0.75% unchanged.
It is noteworthy that the Canadian Central Bank raised the interest rate at its meeting last July for the first time in seven years.
The odds of raising interest rates again during this year rose last week to reach 41%, after data released last Thursday, which showed that the Canadian economy achieved strong growth, the highest among the Group of Seven great economic countries, as the Canadian economy announced the growth of GDP. During the month of June, seasonally, by 0.3%, better than expectations, which were indicating a growth of 0.1%.
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