Market News Report: December 16 – December 20, 2019

The week behind

Wednesday’s FOMC Rate Decision brought the most attention last week, but it didn’t move the financial markets that much. Well, stocks, oil, the price of gold jumped and the dollar fell but the changes were unimpressive. The only real short-term game changer happened on Thursday in a form of a tweet from the U.S. President about the coming U.S. - China trade deal. It set the risk-on tone for the markets, and the U.K. Elections just added fuel to the fire on Friday morning. Overall, the economic numbers have been overshadowed by a single Trump’s Twitter message.

The week ahead

What about the coming week? On Monday and on Friday we will get some pretty important economic data releases in the U.S. Then the Wednesday’s Bank of Japan’s monetary policy release may cause some voluntary in the financial markets. But will the Thursday’s evening Peoples Bank of China announcement be as important to the markets? This week’s news from Australia, Canada and the U.K. may also bring some volatility to their exchange rates. Let’s take a look at key highlights:

• Monday’s PMI numbers and Friday’s GDP along with Personal Spending and Personal Income numbers will be the most important U.S. economic data releases this week.
• The Japanese Yen traders should note Wednesday night in their calendar – there will be important announcements: Monetary Policy Statement, BOJ Policy Rate followed by the BOJ Press Conference.
• On Thursday evening we will get the People's Bank of China Loan Prime Rate release. It may be well worth watching.
• There will also be lots of domestic economic data releases from Australia, Canada and the U.K. in the coming week. And don’t miss Wednesday’s ECB’s President Lagarde Speech followed by the German Ifo Business Climate number release.

You will find this week’s the key news releases below (EST time zone). For your convenience, we broken them down per market to which they are particularly important, so that you know what to pay extra attention to, if you have or plan to have positions in one of them. Moreover, we put the particularly important news in bold. This kind of news is what is more likely to trigger volatile movements. The news that are not in bold usually don’t result in bigger intraday moves, so unless one is engaging in a particularly active form of day trading, it might be best to focus on the news that we put in bold. Of course, you are free to use the below indications as you see fit. As far as we are concerned, we are usually not engaging in any day trading during days with “bold” events on a given market. However, in case of more medium-term trades, we usually choose to be aware of the increased intraday volatility, but not change the currently opened position.

Our Market News Report consists of two different time-related perspectives. The investors’ perspective is only suitable for the long-term investments. The single economic data releases rarely cause major outlook changes. Hence, we will only see a handful of bold markings every week. On the other hand, the trader’s perspective is for traders and day-traders, because the assets’ prices are likely to react on a single piece of economic data. So, there will be a lot more bold markings on potentially market-moving news every week.

Investors’ Perspective

GOLD, Silver And Mingling Stocks

Monday, December 16

• 9:45 a.m. U.S. - Flash Manufacturing PMI, Flash Services PMI

Friday, December 20

• 8:30 a.m. U.S. - Final GDP q/q, Final GDP Price Index q/q
• 10:00 a.m. U.S. - Personal Spending m/m, Personal Income m/m, Core PCE Price Index m/m, Revised UoM Consumer Sentiment, Revised UoM Inflation Expectations

Crude Oil

Monday, December 16

• 9:45 a.m. U.S. - Flash Manufacturing PMI, Flash Services PMI

Tuesday, December 17

• 4:30 p.m. U.S. - API Weekly Crude Oil Stock

Wednesday, December 18

• 10:30 a.m. U.S. - Crude Oil Inventories
• 10:00 p.m. Japan - Monetary Policy Statement, BOJ Policy Rate

Thursday, December 19

• 1:30 a.m. Japan - BOJ Press Conference
• 8:30 p.m. China - PBoC Loan Prime Rate

Friday, December 20

• 8:30 a.m. U.S. - Final GDP q/q, Final GDP Price Index q/q
• 10:00 a.m. U.S. - Personal Spending m/m, Personal Income m/m, Core PCE Price Index m/m, Revised UoM Consumer Sentiment, Revised UoM Inflation Expectations

Stock Markets

Monday, December 16

• 9:45 a.m. U.S. - Flash Manufacturing PMI, Flash Services PMI

Wednesday, December 18

• 4:00 a.m. Eurozone - German Ifo Business Climate
• 10:00 p.m. Japan - Monetary Policy Statement, BOJ Policy Rate

Thursday, December 19

• 1:30 a.m. Japan - BOJ Press Conference
• 8:30 p.m. China - PBoC Loan Prime Rate

Friday, December 20

• 8:30 a.m. U.S. - Final GDP q/q, Final GDP Price Index q/q
• 10:00 a.m. U.S. - Personal Spending m/m, Personal Income m/m, Core PCE Price Index m/m, Revised UoM Consumer Sentiment, Revised UoM Inflation Expectations  

EUR/USD

Monday, December 16

• 3:30 a.m. Eurozone - German Flash Manufacturing PMI, German Flash Services PMI
• 4:00 a.m. Eurozone - Flash Manufacturing PMI, Flash Services PMI
• 9:45 a.m. U.S. - Flash Manufacturing PMI, Flash Services PMI

Wednesday, December 18

• 3:30 a.m. Eurozone - ECB President Lagarde Speech
• 4:00 a.m. Eurozone - German Ifo Business Climate

Friday, December 20

• 8:30 a.m. U.S. - Final GDP q/q, Final GDP Price Index q/q
• 10:00 a.m. U.S. - Personal Spending m/m, Personal Income m/m, Core PCE Price Index m/m, Revised UoM Consumer Sentiment, Revised UoM Inflation Expectations

USD/JPY

Monday, December 16

• 9:45 a.m. U.S. - Flash Manufacturing PMI, Flash Services PMI

Wednesday, December 18

• 10:00 p.m. Japan - Monetary Policy Statement, BOJ Policy Rate

Thursday, December 19

• 1:30 a.m. Japan - BOJ Press Conference
• 8:30 p.m. China - PBoC Loan Prime Rate

Friday, December 20

• 8:30 a.m. U.S. - Final GDP q/q, Final GDP Price Index q/q
• 10:00 a.m. U.S. - Personal Spending m/m, Personal Income m/m, Core PCE Price Index m/m, Revised UoM Consumer Sentiment, Revised UoM Inflation Expectations

Disclaimer

All essays, research and information found above represent analyses and opinions of Paul Rejczak and Sunshine Profits' associates only. As such, it may prove wrong and be a subject to change without notice. Opinions and analyses were based on data available to authors of respective essays at the time of writing. Although the information provided above is based on careful research and sources that are believed to be accurate, Paul Rejczak and his associates do not guarantee the accuracy or thoroughness of the data or information reported. The opinions published above are neither an offer nor a recommendation to purchase or sell any securities. Mr. Rejczak is not a Registered Securities Advisor. By reading Paul Rejczak’s reports you fully agree that he will not be held responsible or liable for any decisions you make regarding any information provided in these reports. Investing, trading and speculation in any financial markets may involve high risk of loss. Paul Rejczak, Sunshine Profits' employees and affiliates as well as members of their families may have a short or long position in any securities, including those mentioned in any of the reports or essays, and may make additional purchases and/or sales of those securities without notice.

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