Thursday’s Events


Thursday can be consider as a crucial Day given the world wide interest in all things central banking, while many important data to be released as well. The BoJ meeting will initial gain some interest, in which no changes in policy are expected in either rates or stimulus. The Bank may, however, downgrade its inflation outlook, while upping expectations for the economy, consistent with recent global patters and according to recent market chatter.

However mainly all eyes will be on tomorrow’s ECB meeting. After the ECB removed the easing bias on rates in June, but still maintained an easing bias on QE,  the central bank expected to keep policy parameters unchanged at tomorrow’s council meeting, which will be followed by a longer summer break. The next policy setting meeting in September will bring updated set of staff projections and likely a further tweaking of the forward guidance, although a confirmation of a follow on QE program at reduced levels, i.e. the start of tapering, may not come until December, especially as the Fed rate hike expectations are also being pushed out. Rather than using the Jackson Hole meeting in August as an opportunity to flag QE tapering, central bank officials could use the gathering to try and re-assure markets that central bank support may have peaked, but that policy formalization will be conducted with caution and a close eye on market reactions. Bloomberg reports today seem to confirm that officials indeed remain reluctant to change the language already this week, but are working on details of tapering plans, which could be agreed in the fall.

Meanwhile significant releases will be out from UK and Australia. In Australia, the June employment report is the highlight the day. A 20.0k gain is projected following the 42.0k improvement in May. The unemployment rate is seen rising to 5.6% from 5.5%. In UK, Official retail sales for June will be out , and expected at 0.2% m/m rebound after the sharp 1.2% contracting on May .

Click here to access the HotForex Economic calendar.

Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE! The next webinar will start in:

Andria Pichidi

Market Analyst


Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.