A quiet week for US data, but we have Eurozone Q4 2015 GDP and the March ECB interest rate meeting to keep us busy.
Coming up
On Tuesday 8 March we have Eurozone Q4 2015 GDP.GDP in the Eurozone has been in low single digits (QoQ) since November 2014.The ECB will hope it stays that way.Anything below +0.3% will disappoint. Why should traders care? GDP measures economic growth a key input when comparing economies and their currencies.Watch EUR/USD support 1.864: resistance 1.1026
Thursday 10 March sees China CPI and PPI for February released.The Producer Price Index is a measure of factory gate inflation, whilst CPI tracks consumer prices. PPI may have bottomed at -5.3% (YoY) in Jan.CPI has had two consecutive reads of +0.5% (MoM); can it make a third?Why should traders care? These inflation measures can shed light on levels of demand within China’s slowing economy.Watch the HSI 50 support 19715: resistance 20415
The ECB council meets to decide on interest rates and QE on Thursday 10 March.This much anticipated meeting could see the ECB lower rates further and enlarge their QE program, in an attempt to stimulate the Eurozone economy.Why should traders care? The ECB has so far failed to lift the Eurozone economy out of the doldrums.They may now have to take more drastic action to do so.Watch the Bund support 164.00: resistance 165.86
