The Reserve Bank of Australia will publish its statement and announce the interest rate on July 7, at 7:30 MT time.
Will the ECB Press Conference have a positive influence on the euro?
The ECB will announce the main refinancing rate at 14:45 and give a press conference at 15:30 MT time on December 12.
Since 2016 the European main refinancing rate has been kept at 0%. The legacy of the former ECB President Mario Draghi was to keep the rate unchanged until the inflation rate in Europe comes sufficiently close to but below 2%. The preliminary inflation rate for the month of November in the Euro Area was at 1%, which is far away from the target. Hence, the new ECB head Christine Lagarde is unlikely to make any change to the rate. However, the focus of attention needs to be at the ECB Press Conference following the rate announcement and the monetary policy statement. In her speech, Mrs. Lagarde may share some important insights into the state of the European economy and the quantitative ease policy being implemented through the bond purchase program. If her report brings positive prospects, that will support the euro.
- If the ECB Press Conference provides a positive economic outlook, it will support EUR;
- If the ECB Press Conference provides a negative economic outlook, it will create pressure on EUR.
Canada will announce its monthly GDP on July 31, at 15:30 MT time.
The United States will release the advance GDP growth rate for the previous quarter on July 30, at 15:30 MT time.
The Federal Open Market Committee will make its statement and announce the interest rate on July 29, at 21:00 MT time.