August 23, 2013 - Binary Options Daily Market News
Positive data have been introduced to Europe, which is showing the economy to recover. Yesterday German PMI beat expectations of 52.0 and the overall European Manufacturing PMI also beat expectations at 51.3. European shares rose as a result. Stocks in the U.S. also traded higher despite the disappointing unemployment (Dow Jones rose by 0.44% and the S & P 500 rose 0.86%) and continue to be pushed by speculation that the narrowing of the monetary stimulus may begin soon, as many positive signals were observed in the economy. Asian stocks rose (Nikkei rose by 2.87% and the Hang Seng by 0.53%), driven by both the European and U.S. data.
The goods have been transferred to the unemployment benefit. Initial jobless claims came out worse than expected at 336,000. Although the FOMC members said they were comfortable with plans to reduce narrowing there was agreement that it would be appropriate even so any bad data can stop the program. WTI rose earlier yesterday's session after positive Chinese HSBC PMI but fell after U.S. data. Gold traded higher there is speculation that the monetary stimulus may remain in place for now.
Today's main events:
08.30 GMT: GBP - GDP (MoM) / (r) - measures the change in annual inflation adjusted value of all goods and services produced by the economy. It is the broadest measure of economic activity and the primary indicator of economic health.
12.30 GMT: CAD - Core CPI (MoM) / (r) - measures changes in prices of goods and services, excluding food and energy. CPI measures price change from the perspective of the consumer. This is a key way to measure changes in purchasing trends and inflation.
14.00 GMT: USD - Sales of new homes - measures the annual number of new single-family homes that were sold during the previous month. This report tends to have more impact when it released before home sales, because the reports are tightly correlated.
