Forex - Weekly Outlook: December 24 - 28 By - Investing.com

Investing.com - With little data on the economic calendar , markets will likely focus more heavily on political headlines after the failure by the U.S. Congress and President Donald Trump to agree to a spending bill by midnight Saturday resulted in a partial U.S. government shutdown.

Meanwhile, reports that President Trump suggested firing Federal Reserve Chair Jerome Powell, a move that could roil already volatile financial markets, will also be in focus.

Last week, the U.S. central bank lifted rates for the fourth time this year and kept most of its guidance for additional hikes over the next two years, dashing investor hopes for a more dovish policy outlook.

Elsewhere, on the data front, the U.S. will see a relatively quiet week in terms of economic releases, with reports on consumer confidence and the housing sector expected to draw the most attention.

Trading volumes are expected to remain light during the week due to the Christmas holiday as many traders already closed books before the end of the year.

The dollar against its rivals on Friday to move away from a one-month low, as traders mulled over the prospect of a U.S. government shutdown.

The , which measures the greenback’s strength against a basket of six major currencies, ended the day 0.79% higher at 96.48. It sank to 95.63 on Thursday, a level not seen since Nov. 7.

Despite Friday's gains, the greenback still ended the week down about 1% as a bevy of mostly negative U.S. data fueled some concerns about economic growth.

The safe-haven Japanese yen benefited from the brittle sentiment, with losing 1.9% this week, the largest weekly decline since mid-February.

Ahead of the coming week, Investing.com has compiled a list of significant events likely to affect the markets.

Monday, December 24

U.S. stock and bond markets will see an abbreviated session, with equity markets ending at 1:00PM ET (18:00 GMT), while bond markets are set for a 2PM ET (19:00 GMT) close.

Tuesday, December 25

Markets stateside will remain closed for Christmas.

Wednesday, December 26

The U.S. will release the latest report on home prices from S&P/Case-Shiller.

Thursday, December 27

The U.S. will publish data on CB consumer confidence, weekly jobless claims and new home sales.

Friday, December 28

The U.S. is to round up the week with data on pending home sales, wholesale inventories, the trade deficit and manufacturing activity in the Chicago-region.

-- Reuters contributed to this report

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Read Again Forex - Weekly Outlook: December 24 - 28 By - Investing.com : http://bit.ly/2Sh5Ltd

Let's block ads! (Why?)