With the U.S. markets closed today, a slow news day is likely to cause low liquidity in the marketplace. Still, there are several economic indicators that could create volatility and lead to a shakeup in an otherwise uneventful day.
08:15 GMT CHF Producer Price Index (PPI)
The PPI report shows the change in price for consumer goods purchased by manufacturers over the last month. The PPI is a leading indicator of inflation in the Swiss economy. A positive figure usually leads to gains for CHF as it shows that that the economy is stabilizing.
This month, analysts are forecasting a figure around 0.1%. While this would not signal a dramatic change in the Swiss economic situation, it would show that the country is steadily making its way out of recession. CHF could see some gains if the results of the PPI are in line with forecasts.
21:45 GMT NZD Producer Price Index (PPI) Input
Like the Swiss PMI, this report measures the change in price of consumer goods, only in New Zealand. The difference between the two reports is that this one is released only quarterly. In addition, NZD is a traditionally volatile currency, meaning that a report like this could really impact its positions against safe haven currencies like the U.S. Dollar.
With a forecasted result of 0.5%, the PPI for New Zealand may lead to gains for the NZD in evening trading. Of course, if the report comes in at below 0.5% the kiwi will likely take some major losses against both the USD and JPY.
