Major News Events

Country: USA

Explanation: The ADP National Employment Report provides an independent assessment of changes in U.S. nonfarm, private employment. This data is sourced from actual, anonymized payroll information of companies served by ADP. The report, released monthly, offers valuable insights into the U.S. labor market by providing current data on total private employment, weekly jobs data, and wage insights from the previous month. It is widely used by businesses and governments to gauge the health of the U.S. job market.

Occurrence: The ADP Non-Farm Employment Change report is released on the first Wednesday of every month at 8:15 am EST.

Country: UK (United Kingdom)

Explanation: The Bank of England (BoE) sets the UK’s monetary policy, including determining benchmark interest rates, through its Monetary Policy Committee (MPC). Changes to or indications of future alterations in the BoE’s rate targets can significantly influence the performance of all GBP currency pairs. The BoE’s decisions and accompanying statements provide crucial insights into the UK’s economic outlook and can lead to significant movements in the currency market.

Occurrence: The BOE Interest Rate Decision is announced on 8 Thursdays throughout the year. The news is released at 12:00 GMT (Greenwich Mean Time) on those days. Meeting dates can be obtained from official sources or reputable financial news platforms.

Country: USA

Explanation: The Core Personal Consumption Expenditures (PCE) Price Index is a significant economic metric that measures inflation by tracking price fluctuations in goods and services purchased by U.S. consumers, excluding food and energy. The Federal Reserve closely monitors this index as it provides crucial insights into inflation trends. By excluding volatile items like food and energy, the Core PCE Price Index offers a more stable indicator of underlying inflationary pressures, making it a key factor in shaping monetary policy decisions.

Occurrence: The Core PCE Price Index m/m report is released on the last business day of each month.

Country: USA

Explanation: The Consumer Price Index (CPI) is a crucial tool economists use to track changes in the prices of a typical consumer “basket” of goods and services. It serves as a fundamental gauge of inflation, indicating the cost-of-living changes experienced by consumers. The CPI is pivotal in predicting retail price increases, guiding salary adjustments, and determining cost-of-living increases, such as those for Social Security. A rising CPI signals increasing inflation, prompting central banks, like the Federal Reserve, to consider raising interest rates. This, in turn, can strengthen the country’s currency.

Occurrence: The CPI report is released within two weeks after the end of the month. Traders and investors can find exact release dates on official sources or reputable financial news platforms.

Country: EU (European Union)

Explanation: The European Central Bank (ECB) interest rate decision pertains to the rates at which the ECB offers short-term credit to commercial banks in the European Union. During significant economic announcements like this, volatility in the financial markets increases significantly. Movements of as much as 100 points in EUR/USD and 300 points in the DAX 40 (a major German stock index) have been observed. Spreads, which represent the differences between the buying and selling prices, typically widen for forex and indexes during the ECB interest rate announcement. Additionally, speculation intensifies, leading to a notable increase in trading volume and volatility in the days preceding the ECB’s rate decision.

Occurrence: The ECB Interest Rate Decision is announced during specific monetary policy meetings. The news is released at 14:15 CET (Central European Time) on those days. Meeting dates can be obtained from official sources or reputable financial news platforms.

Country: USA

Explanation: The Federal Reserve, the US central bank, holds regular meetings to decide on economic policies, specifically the interest rates charged on loans to commercial banks. An interest rate increase often strengthens the U.S. dollar as it signals rising inflation, indicating a robust economy. Conversely, a rate decrease, suggesting economic challenges, tends to weaken the dollar. If rates remain unchanged, market focus shifts to the tone of the Federal Open Market Committee (FOMC) statement. The statement’s language is analyzed for its implications regarding future inflation trends, categorized as either “hawkish” (indicating potential rate increases) or “dovish” (indicating possible rate decreases).

Occurrence: The Fed Interest Rate Decision is announced 8 times a year. The news is released at 2 pm EST on the second day of the meeting. Exact dates can be obtained from official sources or reputable financial news platforms.

Country: USA

Explanation: Gross Domestic Product (GDP) represents the total value of goods and services produced within a country during a specific period. It is a fundamental indicator of a nation’s economic health and size. GDP provides insights into whether an economy grows by increasing its output or contracting. This key economic statistic enables comparisons of economic performance among different countries and can significantly impact financial markets. Shifts in GDP can influence investor confidence and market trends.

Occurrence: GDP q/q reports are released quarterly. The exact release dates for upcoming reports can be obtained from official sources or reliable financial news platforms.

Country: USA

Explanation: The ISM Manufacturing PMI is a monthly report conducted by the Institute of Supply Management (ISM) that assesses the health of U.S. manufacturing. This assessment is made through a survey of purchasing managers from selected companies, which are chosen to reflect the industry and geographic distribution of U.S. manufacturers. Respondents in the survey indicate whether the conditions are “better, worse, or the same” or show an “increase, decrease, or no change”. If the PMI index exceeds 50, it indicates that the majority of respondents reported improvements or increases, while an index below 50 implies that most respondents experienced worsening conditions or decreases in manufacturing activity.

Occurrence: The ISM Manufacturing PMI report is released on the first business day of each month at 10:00 am ET.

Country: USA

Explanation: The Services Purchasing Managers’ Index (PMI), also known as the ISM Services report, is derived from a nationwide survey of purchasing managers working in non-manufacturing industries in the U.S. Similar to the ISM Manufacturing Survey, this report assesses various business conditions within the services sector, including employment, production, new orders, prices, and inventories. The collected data help determine whether the services industry expanded or contracted over the month, providing valuable insights into the health of the U.S. services sector.

Occurrence: The ISM Services PMI report is released on the third business day of each month at 10:00 am ET.

Country: USA

Explanation: The NFP report is a vital U.S. economic indicator that reveals the number of paid employees, excluding those in farms, the federal government, private households, and nonprofits. This report has a significant impact on the foreign exchange (forex) market, causing substantial rate fluctuations. It attracts attention from a wide range of market participants and provides insights into the monthly variations in U.S. employment figures.

Occurrence: The NFP report is released on the first Friday of each month.

Country: USA

Explanation: The Producer Price Index (PPI) is an important economic indicator that monitors changes in selling or wholesale prices for domestic producers’ output. While it is less common than the Consumer Price Index (CPI), the PPI remains a valuable measure of inflation, providing insights into the economic health of various sectors. The PPI reflects shifts in manufacturers’ input costs, such as raw materials, and encompasses various indices affecting domestic producers. Additionally, the PPI’s inclusion of goods in production often allows for predictions regarding future CPI figures.

Occurrence: The PPI report is released within two weeks after the end of the month. Exact release dates can be obtained from official sources or reputable financial news platforms.

Country: USA

Explanation: The U.S. Retail Sales report is compiled by the U.S. Census Bureau and encompasses sales data from various retail businesses, such as department stores, gas stations, and online retailers. Notably, it excludes the service sector, including restaurants and hotels. The data is collected through the Monthly Retail Trade Survey (MRTS), which involves approximately 13,000 retail businesses across different sectors nationwide. This survey focuses on sales, inventories, and other essential performance indicators. The Census Bureau processes, analyzes, and adjusts this data to provide insights into the retail sector’s health.

Occurrence: The Retail Sales report is released around two weeks after the end of the reference month. Exact release dates can be found on the official sources.

Country: USA

Explanation: The University of Michigan Consumer Sentiment Index (MCSI) is a key measure that assesses consumer confidence in economic activities. Consumer optimism significantly influences spending, which forms a substantial portion of a country’s economic activity. Therefore, the MCSI serves as a valuable predictor of cyclical changes in the economy. The index evaluates near-term consumer attitudes toward business conditions, personal finances, and spending. It also forecasts shifts in the national economy, integrates consumer expectation measures into spending and saving models, assesses consumers’ future spending inclinations, and determines the level of consumer optimism or pessimism.

Occurrence: The MCSI report is released at 10:00 am ET on the second Friday and 10:00 am ET on the fourth Friday of each month.