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Forex · News · Forex Forecasts

NEWS / Forex Forecasts

Market’s daily review

11:47 02/02/2006

Yesterday the American currency increased even on a background of the issue of not too optimistical business data in the country.

Expectations of the further interest rates growth in the USA, which probability has considerably raised after FRS statement, sustain a dollar exchange rate strengthening.

Let's remind that on Tuesday there was a fourteenth Federal Open Market Committee meeting in a row on which the decision on rate increase was accepted.

 

Now the market’s all attention is focused on the publication of employment data in the USA on Friday. Analysts forecast increase of nonfarm payrolls in the USA on 250 000 in January.

 

The American sector of a manufacturing industry showed growth in January practically at the same rates, as well as a month earlier, having promoted by the equipment orders.

The Institute for Supply Management has informed on that the last month the industrial index was down to 54.8 against 55.6 in December.

A reading above 50 indicates expansion, and January figures can be compared with the average growth indicator for 2005 at a mark of 55.5.

 

As Department of Commerce has informed construction spending in the USA were up 1 % in December on a background of rise of construction spending on houses, offices, multistorey buildings and objects for the general use

Spending in November has been revised to increase up to 0.5 % against growth on 0.2 % earlier.

Seasonably adjusted data have been above 0.2 % predicted by economists. It is the maximal rise of construction spending for three months.

 

According to the CIPS data in January business activity in a manufacturing industry of the UK continued the moderate growth, though at more modest rates than in Eurozone.

In January the business index in Great Britain rose up to 51.7 in comparison with December value of 51.3.

Experts predicted that growth of activity would make 51.3.

Earlier it was informed that PMI index made 51.1 in December.

 

The business index in industrial sector of France grew up to 50.7 in January from 52.2 in December.

Economists assumed that the index would grow up to 52.5.

 

The business index in Italy made 53.5 for January at the previous value 54.1.

 

The business index in Germany climbed up to 55.0 in January from 53.6 in December.

It was expected that growth of activity would make 54.2.

 

PMI index in Eurozone went down to 53.5 in January against 54, that, in its turn, put pressure upon a rate of euro.

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