The week ahead will see releases of a number of top-tier macro reports. Traders will be offered jobs data from US and Canada as well as minutes from FOMC, RBA and ECB. Apart from that, political uncertainty in Europe continues as investors brace for French and UK elections. Be sure to watch USDCAD, EURAUD and FRA40 in the week ahead.
USDCAD
As a new month begins, it means the time has come for release of US jobs data. US NFP report for June will be released next Friday at 1:30 pm BST, but before that, traders will be offered ADP employment report for June on Wednesday, 1:15 pm BST. Canadian jobs data for June will also be released next Friday, 1:30 pm BST, and it may help ensure volatility on USDCAD market. There will also be other events that may help move USD, like release of ISM indices for June on Monday and Wednesday, or release of FOMC minutes on Wednesday evening.
EURAUD
EURAUD is another pair that may see some moves next week, thanks to a number of macro releases scheduled. Traders will be offered minutes from Reserve Bank of Australia (Tuesday, 2:30 am BST) as well as minutes from European Central Bank (Thursday, 12:30 pm BST). Flash German CPI reading for June on Monday, 1:00 pm BST may also trigger some EUR-volatility. EURAUD dropped to a 1-year low this week, driven by EUR weakness. Will next week's releases help the pair regain some ground?
FRA40
The first round of French parliamentary elections will be held this Sunday, June 30 and the second round is scheduled for next Sunday, July 7. Political uncertainty in Europe is therefore likely to last for at least another week, with UK elections on July 4, 2024 boosting uncertainty further. FRA40 was among Europe's top underperformers since EU elections, with uncertainty around snap elections being key driver. Having said that, the index may remain volatile next week as investors digest election results.
