US PMI and Canadian GDP awaited – TD Securities

By FXStreet Fxstreet (Delhi) – Analysts at TD Securities note that global markets are back in a mild state of panic with global equities in the red following a slate of soft PMIs. Also, it is a very important day ahead in the US and Canadian session, with key event risks including Canadian GDP and US PMI data lined up.

Key Quotes

“The Nikkei closed nearly 4% down on the day. The JPY has been the major outperformer, and the EUR posting slight gains versus the USD. Crude oil gains have stalled as there are no signs of supply restraint from the OPEC nations.”

“The RBA kept the cash rate at 2% as expected but did not offer explicit easing guidance. The RBA acknowledged the pick-up in volatility across global markets and although the Bank said there was a further softening in conditions in China and east Asia, it was brushed aside, pointing to stronger US growth. Global PMIs printed on the soft side including Sweden, UK, Norway and China.”

“In the US, the ISM manufacturing index, which we forecast to remain broadly unchanged at 52.4 (in line with the market) will set the tone for markets today following a suite of softer global PMIs. North …read more

Source:: FX Street