Financial assets were trading in mixed trends on Friday, as downbeat economic reports from the United States of America caused panic stricken traders to rush away from the greenback. The economists are re-evaluating their analyses regarding the possibility of another rate hike by Fed until the end of the year. While the European Flash GDP report met expectations and resulted at the same level, worse-than-expected PPI, Retail Sales, and Core Retail Sales data from the US caused US Dollar to weaken against its major counterparts. The repots came at -0.3%, -0.4%, and 0.0% respectively, reducing the probability that the US Federal Reserve Bank could increase the official interest rate before the end of the year.
An exciting week is ahead of us in which leading countries will publish Consumer Price Index reports, providing ideas ideas regarding the health of their economies. The first day of the week will be a preparation session for global traders who are anticipating prominent economic indicators to score profits. While France and Italy will spend the day off in observance of the Assumption Day, the US will release 2 reports in the afternoon. The first data, Empire State Manufacturing Index, is expected to show improvement. The index recorded mixed results in the past 6 months, and a positive indicator to start the week might bring traders back to USD after last Friday’s streak of negative reports. Later on, NAHB Housing Market Index might support the greenback if the results satisfy the forecasts.
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