Market Movers: ISM Services, Fed Minutes, and Canadian Jobs Take Center Stage
The upcoming week will be marked by several key economic events that could impact currencies and yields. The ISM services report on Monday will provide the first major U.S. test of the week, with traders looking beyond the headline to new orders, employment, and prices paid. A reading above 50 signals expansion, but solid activity with elevated prices would suggest continued inflation pressure.
On Tuesday, trade data from Germany, the UK, and the eurozone will offer a check on business demand and household spending. The U.S. and Canadian trade balances for August are also expected to show a larger trade deficit in the U.S. and a trade surplus in Canada.
The Federal Reserve minutes on Wednesday will be a major focus, with traders looking for the balance of concern between inflation and employment. The Treasury auction that day could also move yields ahead of the minutes and influence the dollar's reaction.