Happy Sunday, fellas.
The dollar went for its highest weekly close versus the safe-haven currency Japanese yen since May on Friday, as economic data dispensing the US economy on a firm standing helped traders to scale back rate-cut bets.
The dollar index, which measures the Greenback versus six other leading currencies, moved up by 0.07% at 98.438. On Friday, the index soared as high as 98.544, its highest since October 15.
During the previous week, China urged the United States that it would take “firm countermeasures” in reply to US law supporting anti-government rebels in Hong Kong, and that attempts to intervene in the Chinese-ruled city were doomed to sink.

Key Economic Events This Week

Now, we are heading into the first week of the last month of 2019, and it’s densely packed with the high impact economic events, with most of the focus staying on Non-Farm Payrolls — watch out highlights for the upcoming week.

ISM Manufacturing PMI – Monday – 15:00 GMT

Kicking off the week with the US ISM Manufacturing PMI for November on Monday. Predictions are for the composite index are to rise slightly to 49.2 vs.48.3 during the previous month. Although it’s a positive figure, it remains below the standard threshold of 50, which determines whether the economy is on an expansionary or contractionary track.

RBA Monetary Policy Decision – Tuesday – 3:30 GMT

It’s going to be one of the major economic events on Tuesday, but the RBA is anticipated to keep the rate on hold, following the footsteps of the Fed and RBNZ.
The Reserve Bank of Australia’s governor, Philip Lowe, gave disturbing directions about the policy direction in statements made earlier this week. Recent remarks from the Canberra-based institution have confirmed that the bar is open to additional easing. Nevertheless, Governor Phillip Lowe and his associates will probably leave the Cash Rate stable at this point, ere going to the summer holiday. The RBA appears to lock rates again only in February.

ADP Non-Farm Employment Change – Wednesday – 13:15 GMT

This data provides an early look at employment growth, usually two days ahead of the government-released employment data that it’s designed to mimic. Source changed series calculation formula in February 2007, December 2008, and November 2012 to better align with government data.
The Automatic Data Processing, Inc. is expected to release a slight surge in data from 140K to 125K for the month of November. Job creation is an essential leading indicator of consumer spending, which accounts for a bulk of overall economic activity. Weaker data may drive bearish sentiments for the upcoming US NFP figures, which are due on Friday.

Bank of Canada & Monetary Policy Decision – Wednesday –15:00 GMT

At 15:00 GMT, the Bank of Canada will be releasing the Overnight Rate along with BOC Rate Statement. It’s widely expected to keep the interest rate steady at 1.75%.
There’s a sort of herding behavior in the market. Central banks are following the footsteps of the Federal Reserve. Bank of Japan, People’s Bank of China, European Central Bank, Bank of England, and now the Bank of Canada are also shifting their monetary policy from dovish to hawkish. The Canadian dollar is likely to trade with a bullish sentiment due to no rate cut expectations ahead.

USD – Labor Market Report – Friday – 12:30 GMT

The US NFP (Nonfarm Employment Change) and the unemployment rate will remain under the spotlight. Both these economic data sets will be monitored at 12:30 GMT. NFP is expected to be slightly positive at 189K vs. 128K during the previous month.
Whereas the unemployment rate is likely to stay unchanged at 3.6% and the Average Hourly Earnings are expected to rise by 0.3% vs. 0.2% previously. The weaker data will offer an opportunity to short the Greenback for a quick 60-100 pips and vice versa.
That’s all for now, but stay tuned to our economic calendar for the live market updates and forex trading signals.
Good luck!