Investors’ focus on ECB’s Draghi statement and Interest Rate Decision today

FXPrimus summarized the important market indicators of the day.

Between 07:00 and 08:00 the Eurozone is due to release the Spanish Unemployment Rate and Money Supply respectively.

Investors may stay quite as ECB’s Draghi is expected to make a statement at 12:30, 45 minutes after the interest rate decision is announced.

Market experts recon ECB President is going to announce when the trimming of ECB’s monthly asset purchases program will start.

At 12:30, US is also scheduled to release its weekly Unemployment Claims reports.

GBPUSD – Cable rallies to 1.3278 on upbeat GDP data as figures are slightly better than anticipated. The British Pound surged nearly 1.0% against Dollar since yesterday’s session after UK GDP came in at 0.5% compared to an expected figure of 0.4%. Price broke above the descending trendline hours after the announcement and retested the previous high at 1.3225 while the wild upmove measured nearly 150 pips from daily open.

USDCAD – Loonie plummets across the board as BoC holds interest rates steady. The Canadian Dollar fell nearly 140 pips against Dollar on a steady and widely expected 1.0% interest rate. USDCAD climbed to a daily high of 1.2816, which marks a 3 ½-Month high, and also broke the strong resistance at 1.2776 formed on August 15th.
EURUSD – Euro tilts above $1.18 key level after German Ifo hits an all-time record high. Euro rose to a 6-Day high yesterday as German data indicated that Europe started Q4 of 2017 on a well-grounded footing. The German Ifo reached a record high reading after two consecutive disappointing months, taking EURUSD near 1.1835. Investors’ eye today’s ECB monetary policy announcement for clues on the timing the ECB may start reducing its asset purchases.

USOIL – Oil under pressure on worse than expected inventories, marginally lower on mixed data. Crude Oil fell to a daily low of $51.94 after EIA reported a surplus of 0.9M compared to an anticipated draw of -2.6M. After a positive API report, Oil remained mixed on EIA’s report, albeit lower than Tuesday’s high of $52.60 and still trades 45 cents below that.
XAUUSD – Gold inches higher as Dollar eases ahead of ECB, uncertainty on Fed Chair replacement. Spot Gold moved higher yesterday as investors’ eye the European interest rate decision; which added pressure on the US Dollar. In addition, uncertainty around Trump’s decision on who will be nominated as the next Fed Chair weighed in. Gold trades near $1280.00 after having reached a daily high of $1282.00 per ounce this morning.
In U.S Indexes, both S&P500 and DJ slumped by 0.48% and 0.47% respectively.
In Europe, UK 100 trades 0.05% higher while DE30 0.06% higher.
In Asia, ASX 200 appreciated 0.16%, Hang Seng fell 0.31% and Nikkei moved 0.15% higher.
In stocks, Tesla plunged 3.41% and Facebook -0.70%.