Important event to look out for today 26/09/2019

Dmgtrust.com – Here are the top things you need to know in the financial market today, September 25:

1. U.S. Gross Domestic Product (GDP) QoQ

Gross Domestic Product (GDP) measures the annualized change in the inflation-adjusted value of all goods and services produced by the economy. It is the broadest measure of economic activity and the primary indicator of the economy’s health.

Usual Effect: Actual > Forecast = Good for currency
Frequency: Released monthly. There are 3 versions of GDP released a month apart – Advance, second release and Final. Both the advance the second release are tagged as preliminary in the economic calendar.

2. European Central Bank President Draghi Speaks

Mario Draghi (born 3 September 1947) is an Italian banker and economist who has been governor of the Bank of Italy and succeeded Jean Claude Trichet as President of the European Central Bank starting November 2011. As head of the ECB, which controls short term interest rates, he has more influence over the EUR value than any other person. His comments may determine a short-term positive or negative trend.

3. Bank of England Governor Carney Speaks

Bank of England (BOE) Governor Mark Carney (July 2013 – June 2021) is to speak. As head of the BOE’s Monetary Policy Committee (MPC) which controls short term interest rates, Carney has more influence over sterling’s value than any other person. Traders scrutinize his public engagements for clues regarding future monetary policy. His comments may spark a short-term positive or negative trend.  

4. U.S. Pending Home Sales MoM

The National Association of Realtors (NAR) Pending Home Sales Report measures the change in the number of homes under contract to be sold but still awaiting the closing transaction, excluding new construction.

A higher than expected reading should be taken as positive/bullish for the USD, while a lower than expected reading should be taken as negative/bearish for the USD.