You are here: Home > articles > Forex > US Open Preview – Dollar inches down as trade woes linger; US data & RBA decision eyed
US Open Preview – Dollar inches down as trade woes linger; US data & RBA decision eyed
April 2, 2018 11:26 amVideo
Latest News
- Forecast for EUR/USD on April 16, 2024 April 16, 2024
- Forecast for GBP/USD on April 16, 2024 April 16, 2024
- Forecast for AUD/USD on April 16, 2024 April 16, 2024
- Outlook for GBP/USD on April 16. Pound awaits inflation data April 16, 2024
- Outlook for EUR/USD on April 16. Another boring Monday April 16, 2024
- The euro hardly has a chance to rise April 16, 2024
- Trading Signals for GOLD (XAU/USD) for April 15-17, 2024: buy above $2,328 (200 EMA – 5/8 Murray) April 15, 2024
- Video market update for April 15, 2024 April 15, 2024
- Trading Signals for GBP/USD for April 15-17, 2024: buy above 1.2450 (21 SMA – 0/8 Murray) April 15, 2024
- The dollar has not reached its potential April 15, 2024
- Analysis of GBP/USD. April 15th. Retail sales in the USA allow the dollar to continue rising April 15, 2024
- China’s Q1 GDP growth next on the Asian calendar – Preview April 15, 2024
- Technical Analysis – Goldman Sachs stock gains on strong earnings April 15, 2024
- Trading Signals for ETH/USD (Ethereum) for April 15-17, 2024: buy above $3,125 (200 EMA – 2/8 Murray) April 15, 2024
- Analysis for EUR/USD on April 15th. Monday – a tough day for the euro April 15, 2024
- GBP/USD: trading plan for the US session on April 15th (analysis of morning deals) April 15, 2024
- EUR/USD: trading plan for the US session on April 15th (analysis of morning deals). Euro is at an impasse April 15, 2024
- GBP/USD: Will sterling hold steady against dollar? April 15, 2024
- Technical Analysis – USDJPY rallies to another fresh 34-year high April 15, 2024
- Will Netflix earnings take the share price closer to its record highs? – Stock Markets April 15, 2024
Here are the latest developments in global markets:
Day ahead: US data and RBA decision on the agenda as markets await trade updates
With most European markets still closed, attention will likely remain on any potential updates in the “trade war” narrative. Besides any trade news, there are some US economic data and a speech by an FOMC policymaker on the agenda for today. A few hours afterwards, during the Asian session on Tuesday, all eyes will turn to the Reserve Bank of Australia’s (RBA) policy decision.
On the subject of trade, investors will likely remain vigilant for any comments from the US administration regarding the recently-announced tariffs by China. Any hints of countermeasures would likely amplify concerns that the situation could escalate further and thereby, curb risk appetite.
In terms of economic data, the most noteworthy release will be the US ISM manufacturing PMI for March, at 1400 GMT. The index is expected to have declined to 60.0, after reaching a 14-year high of 60.8 in February, signaling that the manufacturing sector may have lost some speed but still remains on a very healthy track. The final Markit manufacturing PMI for March is also due out at 1345 GMT, though investors tend to pay more attention to the ISM print.
In Canada, the Markit manufacturing PMI for March is due out as well, at 1330 GMT.
At 2200 GMT, Minneapolis Fed President Neel Kashkari (non-voter) will deliver remarks. Although Kashkari has traditionally been on the dovish end of the spectrum and has voted against previous rate hikes, he recently said he supported the latest hike in March. If he reiterates a neutral view, that would be another indication that even the most cautious FOMC policymakers are becoming more confident in the economy’s outlook.
Looking further ahead, the RBA will announce its rate decision on Tuesday at 0430 GMT. The Bank is widely anticipated to stand pat, so attention will likely turn to the statement accompanying the decision for fresh policy signals. Recent Australian data and developments have been mixed, so policymakers are unlikely to change their neutral tone based on that. Having said that, it would be interesting to see if officials make any mention of the recent trade uncertainties, and whether those are posing downside risks to Australia’s economy. If so, the Aussie could come under renewed selling interest.
Related Posts: