Stocks Cheerful, Waiting For Earning Data

Forex News

As the US-China tension have eased and the situation with attacks in Syria was seemed to be solved, stocks have improved. This week’s highlight is US earning figures and the market, is expected to react positively at the data, considering that thirteen S&P 500 firms will release their reports.

The Pound is still the firmest for this week. Today’s employment numbers were important in assessing the odds for BoE rate hike in May. Unemployment is at a 43-year minimum, while employment hit the all-time maximum. Wages are growing, exceeding the inflation for the first time in a year, by 0.1%. Investors have a few doubts about a policy tightening due to further downside pressure on inflation. Inflation and retail sales numbers are yet to come and analyst will look very closely into them.

Some disappointing data came out of Europe, where German ZEW Economic Sentiment declined 8.2 pts, marking a 6-year minimum and Eurozone ZEW Economic Sentiment fell to the 2-year minimum of 1.9 pts from 13.4 pts. Nonetheless, the economy remains firm. Today, the US features housing data. Building Permits are projected to reach 1.33M, Housing Starts are expected to lift to 1.27M. Some Fed members, such as John Williams, Randal Quarles, Patrick Harker and Charles Evans will talk about the economy.