The Week Ahead – A Quieter Economic Calendar Puts the Dollar, the EUR, and the Loonie in Focus

For the major markets, it is also shortened week, however, with Commonwealth and some European markets closed on Monday.

For the Dollar:

Early in the week, private sector PMI numbers for March and February factory orders will be key.

Expect the market’s preferred ISM Non-Manufacturing PMI to be the key driver on Monday.

The focus will then shift to jobless claims figures on Thursday. Following impressive NFP numbers last week, the markets may be forgiving of any further increase… Avoiding a return to 800k levels will be key, however.

Wrapping things up at the end of the week will be wholesale inflation figures for March. Sensitivity towards inflation remains. A pickup in wholesale inflation would draw interest at the end of the week.

On the monetary policy front, the FOMC meeting minutes are due out on Wednesday. There shouldn’t be too many surprises. A FED Chair Powell speech on Thursday, will garner plenty of interest, however.

In the week ending 26th March, the Dollar Spot Index rose by 0.28% to 93.022.

For the EUR:

It’s another busy week ahead on the economic data front.

February unemployment figures for the Eurozone will be in focus. With a number of member states reintroducing lockdown measures, any positive numbers will likely have a muted impact on the EUR.

On Wednesday, March service sector PMI numbers for Italy and Spain are due out. Finalized PMIs are also due out for France, Germany, and the Eurozone.

While we would expect Italy and the Eurozone’s PMIs to draw the greatest interest, any marked revisions from France and Germany will also influence.

In the 2nd half of the week, the German economy is in the spotlight.

February factory orders, industrial production, and trade figures are due out on Thursday and Friday.

Following impressive PMI numbers from Germany, the markets will be looking for positive data.

On the monetary policy front, the ECB meeting minutes on Thursday will also draw interest.

The EUR ended the week down by 0.30% to $1.1759.

For the Pound:

It’s a relatively quiet week ahead on the economic calendar.

Finalized composite and services PMI figures for March are due out on Wednesday. Expect any revision to the services PMI to influence.

In the 2nd half of the week, construction PMI and house price figures for March are due out.

We don’t expect too much influence from these stats, however.

The Pound ended the week up by 0.31% to $1.3832.

For the Loonie:

It’s a relatively busy week ahead on the economic calendar.

Mid-week, February trade and March Ivey PMI numbers are due out. Expect the numbers to influence ahead of March employment figures on Friday.

Employment change numbers at the end of the week will likely have the greatest influence on the Loonie.

From elsewhere, crude oil inventories and market risk sentiment will remain key drivers, however.

The Loonie ended the week down 0.01% to C$1.2578 against the U.S Dollar.