Not only the market it can become very sensitive to the current geopolitical event which is Ukraine, but next week the economic calendar is very hot as we have the FED monetary policy announcement and the Fed peace of MBS and Treasury purchase program. Don't be fooled that recent event like the EM crisis or this geopolitical event can interfere with tapering, FED tapering is already on autopilot and we should see further $10B/meeting reduction in assets purchase and we should see Fed moving further from his easing cycle.

Next we have EURO zone on the watch with some inflation report as high market impact, the CPI figures are expected to stabilized around 0.8%. Next we have the ZEW economic sentiment from both Germany and EU zone, which compared to previous 2 years it has improve considerable. Last week we have seen a failed attempt from Mario Draghi to talk down the euro which only shows that market participants are no longer going to bite this rhetoric like they did last time and now they want action, and this should force ECB hand to do more easing.

The most hawkish Central Bank among developed countries is definitely BOE, Tuesday we have some words from Carney which can provide some volatility depending on his rhetoric. Wednesday we have BOE minutes and Interest rate decision which should not change also we should see an unanimity vote and consens among all BOE's members. Also we should expect to see some further improvements in the labor market.

Other major events are SNB interest rate decision market expectation is no change. We have some inflation report from BOC, RBA Minutes and some minor data from Japan as well. Trade safe.

Best Regards,
Daytrader21
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