Weekly Forex Market Followup (October 24th - October 28th 2011)

Key Fundamental Forex Events for the Week of October 24th
through October 28th The following table lists the key
economic data and other events that came out during the week of
October 24th through the 28th, with release times displayed for the
GMT time zone. The list also indicates how much each release
deviated from the market consensus forecast upon release, as well
as what the affected major currency pair or pairs did after each
event or set of events. Sunday, October 23rd All Day EUR EU
Economic Summit noted that, We all have similar concerns in
relation to what might happen as a result of the creation of
further fiscal consolidation of the eurozone. This might involve a
new kind of ministry or commissioner to supervise eurozone issue
more centrally. The EUR rose. Monday, October 24th 1:30am AUD PPI
0.6%, as expected. The AUD rose. 3:30am CNY HSBC Flash
Manufacturing PMI 51.1, as expected. 10:45pm NZD CPI 0.4% versus
0.8% expected. The NZD rose. Tuesday, October 25th 9:30am GBP
Current Account -2.0B versus -9.9B expected. 9:45am GBP BOE
Governor King spoke. He said that, We need to use the existing
banking system and soon, we are giving advice to the treasury on
that. And of course the government does own two of the biggest
banks.The GBP was unchanged. 1:30pm CAD Core Retail Sales 0.4%, as
expected. 2:00pm CAD BOC Rate Statement noted that, The outlook for
the Canadian economy has weakened since July, with the
significantly less favourable external environment affecting Canada
through financial, confidence and trade channels. 2:00pm CAD
Overnight Rate 1.00%, as expected. The CAD fell. 3:00pm USD CB
Consumer Confidence 39.8 versus 46.2 expected. The USD was mixed.
Wednesday, October 26th All Day EUR EU Economic Summit noted that,
The world is watching Germany and Europe to see if we are ready and
able to take responsibility. If the euro fails, Europe fails. The
EUR was unchanged. 1:00am NZD NBNZ Business Confidence 13.2 versus
34.4 expected. The NZD rose. 1:30am AUD CPI 0.6% versus 0.7%
expected. The AUD fell. 1:30pm USD Core Durable Goods Orders 0.6%
versus 0.5% expected. 3:00pm USD New Home Sales 313K versus 302K
expected. The USD was mixed. 3:30pm CAD BOC Monetary Policy Report
noted that, The Bank now expects that the euro areawhere these
dynamics are most acutewill experience a brief recession. 4:15pm
CAD BOC Press Conference noted that, A lot of good things happen in
the shadow banking sector, but a lot of risk can come out of it
that has to be tackled, and that's what we're here to work on. The
CAD rose. 9:00pm NZD Official Cash Rate 2.50%, as expected. 9:00pm
NZD RBNZ Rate Statement noted that, Given the ongoing global
economic and financial risks, it remains prudent to continue to
keep the OCR on hold at 2.5 percent for now. However, if global
developments have only a mild impact on the New Zealand economy, it
is likely that gradually increasing pressure on domestic resources
will require future OCR increases. The NZD rose. Thursday, October
27th 4:31am JPY Monetary Policy Statement noted that, At the
Monetary Policy Meeting held today, the Policy Board of the Bank of
Japan decided, by an 8-1 majority vote, to enhance monetary easing
by increasing the total size of the Asset Purchase Program by about
5 trillion yen, from about 50 trillion yen to about 55 trillion
yen. 4:31am JPY Overnight Call Rate 0.10%, as expected. 7:16am JPY
BOJ Press Conference noted that, The economic situation has not
changed significantly since the August easing ... What has changed
is that Europe's situation has become more severe. The JPY rose.
1:30pm USD Advance GDP 2.5% versus 2.4% expected. 1:30pm USD Weekly
Initial Jobless Claims 402K versus 404K expected. 3:00pm USD
Pending Home Sales -4.6% versus 0.2% expected. The USD fell.
Friday, October 28th 10:30am CHF KOF Economic Barometer 0.80 versus
1.01 expected. The CHF fell. Technical Recap for the Majors This
Week EURUSD: Forecast: HigherActual: Higher from a 1.3840
open to a 1.4169 close. USDJPY: Forecast: Mildly LowerActual:
Mildly lower from a 76.47 open to a 75.77 close. GBPUSD:
Forecast: HigherActual: Higher from a 1.5931 open to a 1.6130
close. AUDUSD: Forecast: HigherActual: Higher from a 1.0331
open to a 1.0718 close. USDCAD: Forecast: LowerActual: Lower
from a 1.0090 open to a 0.9917 close. NZDUSD: Forecast:
HigherActual: Higher from a 0.8015 open to a 0.8206 close.