Economic calendar: Important day for EURUSD

Summary:

• Inflation from Germany and the US is expected to drive the EURUSD

• FOMC minutes could offer more details whether the Fed discussed a less hawkish stance

• A lot of central bankers’ speeches during the day

1:00 pm GMT - German inflation: In November the yearly pace of price growth is expected to reach 2.3% when it comes to HICP and 2.4% when measured by CPI. Today’s reading will not provide us with details regarding each component’s contribution to growth. As usual, before the final reading for the country is released, we’ll be offered the partial data from various regions including Saxony, Brandenburg, Hesse or Bavaria. It’s also worth mentioning a package of soft indicators from the Eurozone which will be published at 10:00 am GMT. On top of that, the inflation data from Spain (preliminary) will be released at 8:00 am GMT and a 2% YoY increase is expected compared to a 2.3% rise previously.

1:30 pm GMT - US inflation and more: The PCE gauge is slated to showed a marginal decrease in October to 1.9% YoY from 2% YoY, momentum is expected to stay at 0.2% MoM though. In addition to the inflation data we will also get readings concerning personal income and spending for October - both are expected to by at 0.4% MoM. At the same time a print regarding initial jobless claims will come out and the figure is forecast to total 220k.

7:00 pm GMT - FOMC minutes: Having in mind the yesterday’s speech of Jerome Powell it could be remarkably interesting whether the Fed members discussed a possibility to switch to a more dovish tone at their latest meeting. Taking into account that markets’ perception has evolved in recent hours one may suppose that the account could constitute a downside risk for the greenback. However, we do not think that a next rate hike is at stake.

Central bankers’ speeches scheduled for today:

• 8:00 am GMT - Norges Bank’s Matsen

• 8:00 am GMT - ECB’s Guindos

• 9:30 am GMT - Riksbank’s Ohlsson

• 11:30 am GMT - ECB publishes a financial stability report

• 1:15 pm GMT - ECB’s Angeloni

• 5:30 pm GMT - Norges Bank’s Olsen

• 7:00 pm GMT - five Fed members (Mester, Evans, Harker, Kashkari, Rosengren) take part in a conference in Boston

• 8:05 pm GMT - Fed’s Kaplan