For the Dollar, it’s a quiet week ahead, with key stats limited to house price figures on Wednesday, December consumer confidence and new home sales numbers on Thursday and pending home sales figures, trade data and PMI numbers out of Chicago on Friday. Focus will be on the housing sector and consumer confidence numbers, though expect some market response to Friday’s trade data, another widening in the trade deficit likely to rile U.S President Trump and the markets. Outside the numbers, talk of Trump looking to fire FED Chair Powell could give the market some swings in the shortened week. The Dollar Spot Index ended the week down 0.50% to $96.956.
For the EUR, it’s a particularly quiet week with the European markets in a shortened week, the ECB economic bulletin and job seekers numbers out of France the first numbers to consider on Thursday. While we would expect some market response to the ECB’s economic bulletin, which is unlikely to be EUR positive, prelim inflation numbers out of Spain and Germany will also provide direction for the EUR on Friday, Spain’s finalized GDP number unlikely to have an impact on the day. The EUR/USD ended the