The Economic Data for the day is in. The US dollar fell against the major currencies yesterday, hovering near a two-month low ahead of the release of key US inflation data on further hints of the Federal Reserve’s expected start of a rate cycle.
Crude oil was little changed. Prices retreated from the day’s highs and fell for a third time as China’s weakening economy dampens expectations of demand.
The drop comes as China’s economy continues to be weighed down by a debt crisis in its real estate sector, as the country continues to steer clear of the widespread stimulus measures it has used in the past to counter slowing growth. Traders may also be easing back on risk ahead of February US inflation data coming on Tuesday.
Gold closes at the seventh-straight record high on Monday even as the dollar and treasury yields rose ahead of US inflation data coming today.
MCX gold futures settled + 0.02% to 66035.Silver settled +0.34% at 74514. Copper settled 0.70% to 736.70. Crude oil -0.25% at 6443. Natural gas -3.03% to 147.10.
Economic data and events scheduled – Will CPI data take over today?
China
Tentative- New Loans. Data is foreseen at 1510B from previous 4920B.
Tentative- M2 Money Supply y/y. Data is foreseen at 8.8% from previous 8.7%.
Above data could have a positive impact on the Yuan.
Eurozone
At 12.30pm- German Final CPI m/m. Data is foreseen at 0.4% from previous 0.4%.
All Day- ECOFIN Meetings.
Above data could have a volatile impact on the Euro.
UK
At 12.30pm-
Claimant Count Change. Data is foreseen at 20.3k from previous 14.1k.
Average Earnings Index 3m/y. Data is foreseen at 5.7% from previous 5.8%.
Unemployment Rate. Data is foreseen at 3.8% from previous 3.8%.
At 4.30pm- MPC Member Mann Speaks.
Above data could have a neutral impact on the Pound.
US
At 6.00pm-
Core CPI m/m. Data is foreseen at 0.3% from previous 0.4%.
CPI m/m. Data is foreseen at 0.4% from previous 0.3%.
CPI y/y. Data is foreseen at 0.3% from previous 0.3%.
At 10.30pm- 10-y Bond Auction.
At 11.30pm- Federal Budget Balance. Data is foreseen at -298.5B from previous -21.8B.
Above data could have a volatile impact on the dollar
Commodity Samachar
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