Summary:

• The US industrial data comes into focus today
• Rising oil rig count could put pressure on the crude prices
• BoE quarterly bulletin may offer a deeper insight into the bank’s monetary policy

Friday’s calendar is rather calm with few interesting releases. The US industrial data is of the secondary importance for the USD, however, it’s the key figure today. Moreover, the BoE quarterly bulletin could clear up the bank’s monetary policy outlook. It’s also worth looking at the US oil rig count as it may impact the crude prices. 

12:00 pm BST – UK, BoE quarterly bulletin and Haldane’s speech at 1:30 pm BST. Bank of England decided to keep the interest rates unchanged yesterday. Moreover, the bank underscored that it is not going to be in hurry to tighten monetary policy as there is a lot of uncertainty surrounding the Brexit and economic growth. The bulletin includes commentary on market developments and monetary policy operations, thus it could offer a deeper insight into the BoE’s plans. Moreover, the bank’s chief economist Andy Haldane is speaking. His remarks may be also interesting for GBP traders. 

1:30 pm BST – US, NY Empire State Manufacturing for December. Given a calm calendar, this data gains in importance for USD traders. It’s also a good leading indicator for the US manufacturing sector. Market consensus calls for a slight decline to 18.7 from 19.4. 

1:30 pm BST – Canada, manufacturing sales for October. BoC’s Governor Poloz sent a positive message supporting CAD yesterday. However, he also said that he wants the economy to run hotter for a while, hence the Canadian dollar needs strong data to appreciate further. The street expects manufacturing sales rising to 0.8% m/m from 0.5% m/m.

2:15 pm BST – US, industrial and manufacturing production for November. It’s the most interesting data out today. Although the industry is not the biggest sector of the US economy it is still an important component of growth. The industrial production is seen increasing by 0.3% m/m (+0.9% prior) and manufacturing output is expected to advance at the same pace (+1.3% prior)./

6:00 pm BST – US, oil rig count data. Higher oil prices have encouraged the US shale producers to expand their activity. It has already translated into an increase in the US supply – this factor could be the main factor halting further rally on the crude oil. A more detailed analysis on OIL.WTI can be found here.

 After a successful re-test of the upper limit of current consolidation USDCAD could be poised to move towards 1.2683 handle. Source: xStation5