EUR/USD started the week strong, though not strong enough to erase the Friday’s big drop that has demolished gains of three days in one swoop. Monday’s economic data released from the United States was relatively soft while macroeconomic indicators released from the eurozone were decent for the most part. This week is busy with economic releases from the US, and the most important of them is going to be
Personal income rose 0.3% in December, the same as in November and bit more than analysts had predicted (0.2%). Personal spending, on the other hand, trailed analysts’ expectations, showing no change instead of the forecast increase of 0.1%. The previous month’s increase of spending was revised upward to 0.5%. The same happened to core PCE inflation, which was at zero — below the average forecast of 0.1% growth and the November’s revised gain of 0.2%. (Event A on the chart.)
Final Markit manufacturing PMI rose from 51.2 in December to 52.4 in January (seasonally adjusted). Experts had predicted that the revised estimate would be the same as the preliminary reading of 52.7. (Event B on the chart.)
ISM manufacturing PMI was up a little to 48.2% in January from the revised December’s reading of 48.0% but was below the median experts’ estimate of 48.6%. The index showed the fourth consecutive month of contraction for the manufacturing sector. (Event C on the chart.)
Construction spending edged up 0.1% in December from November. It was worse than analysts’ predictions (0.6%) but better than the previous month’s reading (-0.6%). (Event C on the chart.)
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