mask OPEC Makes a Surprise Deal

29/ 09/ 2016

OPEC Makes a Surprise Deal

Daily update

Yesterday’s markets

  • Draghi faces the lawmakers in Germany
  • Fed’s Yellen speech
  • Durable goods orders data from U.S.
  • EIA crude oil stock change Sep. 2016
  • OPEC meeting

Yesterday explained

Mario Draghi appeared in the closed-door session in front of German lawmakers in Berlin. That must have been an interesting meeting, to say the least. However, the words that are officially released (no leaks so far) do not rock the boat. The ECB wants first to see the current measures run their course before moving again. The bond buying scheme (QE) is set to expire in March 2017, and will likely be extended, but no details for now…

Fed Chair Janet Yellen said in a prepared testimony to the House Financial Services Committee that U.S. banks are well capitalized, but remain challenged by weak interest income, the central bank does not have a "fixed timetable" for raising rates. U.S. durable goods orders for August came in unchanged versus an expected decline, but core capital goods orders rose for a third straight month.

Oil prices jumped Wednesday after OPEC leaders announced a surprise deal to bring back production quotas. The Canadian dollar was the top performer.

Today’s markets

  • Bank of Japan’s Governor Kuroda speech

  • Germany’s Unemployment Change and Unemployment Rate report for the Sep. 2016.

  • Bank of England’s Consumer credit and mortgage Approvals data for Aug. 2016
  • Germany’s consumer price index MoM data for Sep. 2016.
  • Germany’s Harmonised Index of consumer prices
  • U.S. Gross Domestic Product Annualized
  • Fed’s Yellen speech

Today’s focus

Day starts with some small changes in major currencies like EUR and CAD, focus of the day is gonna be some major events like, Gross Domestic Product Annualized report from US, can move the U.S. Market, which is going to be released at 12:30pm GMT, and the Fed’s Yellen speech going to be held at U.S. timing at 08:00pm GMT.

To move UK FX market Bank of England can release some data of Consumer Credit and mortgage Approvals.

In terms of Moving European market Germany may also release some positive data of Consumer Price index, Harmonised Index of consumer Prices, Unemployment rate and Unemployment change for the month of Sep. 2016.