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Message: [QUOTE="MasterForex Broker, post: 52897, member: 16067"] [size=2][b]Overview of the main economical events of the current day - 02/10/2013[/b] [color="#4169E1"][b]Fed QE Tapering Off May Be Not in October[/b][/color][/size] The US dollar fell in the first half of Tuesday after the news about partial shutdown of the US government due to the disagreements over the budget bill in the Congress. But then the dollar partially recovered its losses amid the release of US Manufacturing PMI which grew despite the forecasts. The markets seem to believe that government shutdown is unlikely to last long and economic damage may be limited (0.1%-0.2% from GDP per week). A larger concern is aroused by the problem of the US national debt ceiling increase which must be solved till October, 17. The budget for a new financial year which comes October, 1 in the USA hasn’t been approved yet. The democrats and republicans in the Congress didn’t manage to agree even on a stopgap budget. For the first time in 17 years the USA is left without budget and the work of some federal institutions is suspended, so called ShutDown. Publication of almost all indicators of statistics, which are released by governmental state institutions, may be delayed including Non-Farm Payrolls on Friday. All this can lead to the fact that the decision on QE3 tapering off may be not taken even at October meeting. ISM Manufacturing PMI rose to 56.2 p. from 55.7 p. prior month while a drop to 55 p. was expected. The index has been growing for four months in a row. Inventories, production, employment and prices also have risen while new orders have decreased. [center] [IMG]http://masterforex.com/useruploads/images/sep_ism_mnfg.png[/IMG][/center] The euro reached the highest level since February, 6 Vs the dollar but then lost all its growth. Some pressure was put by German Employment report which showed unemployment growth in September by 0.1% to 6.9% while no changes were expected. German Unemployment Change rose by 25 thousand in September against expected decrease by 5 thousand. Euro-zone final Manufacturing PMI coincided with the preliminary estimate 51.1 p. against 51.4 p. in August (26-month height). However, the data of certain countries (Germany, Italy, and Spain) turned out worse than expected. The pound reached its high since the beginning of the year but then also fell. UK Manufacturing PMI fell unexpectedly after 6-month growth while its continuation was forecasted. PMI dropped in September to 56.7 p. from 57.1 p. prior month (the highest reading for 2.5 years). Australian dollar rose to 8-day high after the Reserve Bank of Australia had kept the key interest rate unchanged and published generally neutral statement according to which further rate decrease was unlikely. Other data were also positive. Retail sales in August rose more than expected - by 0.4% against the forecast +0.3%. HIA New Home Sales rose by 3.4% in August Vs prior month. The yen was traded upwards after the Prime Minister of Japan Shinzo Abe had announced on Tuesday sales tax increase up to 8% from 5%, which will be followed by a stimulus package of 5 trillion yen to prevent economic slowdown because of a negative impact of tax increase. Tankan Large Manufacturers Index rose to its high for almost six years in the third quarter: 12 p. from 4 p. in June with the forecasted growth up to 7 p. [/QUOTE]

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