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Forex · News · Forex Forecasts

NEWS / Forex Forecasts

Market’s daily review

11:47 01/06/2006

--In a threshold of Friday publication of the US labor market survey some stabilization of the American currency is observed after significant dip within two last days.

That expectations that the US FRS FOMC possible interest rates increase at the next meeting on January, 31st can be the last one in a current business cycle, put pressure upon a dollar exchange rate.

However the American currency has grown against the basic contenders after the report over the USA reflected sharp decrease of jobless.

According to the US Department of Labor the last week initial jobless claims reduced on 35000 to 291000, that is the minimal indicator since September, 2000,

Four-week moving average, less changeable parameter, dropped to 316750 against 326000.

Reduction of jobless claims has been caused by seasonal corrections, which supposed more dismissals, than happened actually.

The ISM business index in service sphere made 59.8 for December at the forecast 59.4.

The previous value of the given index made 58.5. This index has also been better than the expected level.

Data in service sector in Europe were favorable, as well as other indexes.

According to the market’s researches the business index in service sphere in Europe (12) rose to 56.8 in December from 55.2 in November, above all analysts’ forecasts who expected 55.5.

 

In France the given index made 58.7for December.

It was expected that PMI in France would remain at a former level 56.5.

The business index in service sphere in Italy made 56.2 for December at the previous value 54.6.

The business index in service sphere in Germany also went up to 56.0 in December from 54,8 in November.

Economists predicted the index 55.0.

According to the preliminary data from the Ministry of Economics and Labor of Germany, for December the factory orders index made +1.7 % for a month, +6.0 % for a year.

The previous value of the given index made 2.0 % for a month, +9.3 % year over year.

Retails in Germany decreased on 1.0 % in real calculation in November to October, and decreased on 0.6 % against November, 2004, according to Federal preliminary data.

In nominal calculation retails went down on 1.2 % against October and on 0.3 % y\y.

For November the retails index in Europe (12) made-0.1 % for a month, +0.3 % for a year.

The previous value has been revised from +0.5 % to +0.2 % for a month, from +0.4 % to +0.2 % year over year.

For November the industrial prices index in Europe (12) made-0.2 % for a month, +4.2 % for a year at the previous value +0.6 % for a month, +4.2 % for a year.

The consumer confidence index in France made-30 for December at the forecast-31.

The British currency has come up after stronger, than it was expected data on business activity in service sector, the probability that the Bank of England will lower the interest rate the nearest months has amplified.

The business index in service sphere in the UK made 57.9 for December at the previous value 55.8.

Value of the index is the highest since April, 2004.
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