Daily Market Review 7 of December
The IMF is planning to add the Australian and Canadian Dollar to the list of the reserve currencies. It might decrease the level of fluctuation of their current rates and to increase their attractiveness for investors. The adding of the status will also reduce the correlation of Aussie and Loonie with stocks and commodities. In such a case both currencies won’t be sold so abruptly like in the periods of exacerbating concerns about the global economic growth. At the moment the list of reserve currencies of the IMF includes the US Dollar, the Yen, the Swiss Franc, the Pound and the Euro. The central banks of Europe, Asia and the Middle East recently have been trying to reduce the share of the Yen and the Dollar in their reserves and to increase the amount of Australian and Canadian Dollars. Today there’s NFP at 1:30 PM GMT which is of course in the focus of the market and will be the main event that is going to shape the trading day.

EUR/USD

The Euro has been depreciating against the US Dollar from 1.3086 to 1.2950. The risks of the Euro correction are quite real especially after recent devastating statement of Mario Draghi. The boundary above is 1.3140 and the support is near 1.2880. Overall the currency is weak and it is too early to talk about the easing of the sales’ pressure.



MARKET DATA

1:30pm     CAD     Employment Change
   
1:30pm     CAD     Unemployment Rate
   
1:30pm     CAD     Labor Productivity q/q
   
1:30pm     USD     Non-Farm Employment Change
   
1:30pm     USD     Unemployment Rate
   
1:30pm     USD     Average Hourly Earnings m/m
   
2:55pm     USD     Prelim UoM Consumer Sentiment
   
2:55pm     USD     Prelim UoM Inflation Expectations