Key points:

U.S. Services Purchasing Managers Index (PMI) data, inflation and personal income / spending will affect expectations for a March Fed rate cut。

European Central Bank (ECB) monetary policy decisions and press conferences are crucial for the euro。

Beijing's stimulus rhetoric and the Bank of Japan's monetary policy decisions also need to be taken into account.。

Dollars:

On Wednesday, the private sector PMI for early January will be of interest to investors.。S & P Global Services PMI May Affect Dollar and Market Risk Sentiment。Improved U.S. services environment could lower expectations for March Fed rate cut。

On Thursday, fourth-quarter gross domestic product (GDP) data, core durable goods orders and unemployment data will arouse investor interest.。GDP data and labor market data may be more impactful。If GDP figures fall short of expectations, job losses surge, could increase expectations of a March Fed rate cut。

However, Friday's inflation and personal spending / income data will affect interest rate expectations.。If inflation is softer and income / spending falls back, it could increase expectations of a Fed rate cut in March。

The Euro:

Preliminary private sector PMIs for France, Germany and the euro zone will affect EUR / USD on Wednesday。Services PMI data will be more influential。Services remain a driver of inflation。Weak service sector activity and falling input prices could prompt the ECB to start discussing rate cuts。

On Thursday, German business confidence figures also need to be taken into account。Weak Confidence May Raise Concerns About Labor Market Under Threat of Protracted Recession。Deteriorating macroeconomic environment could affect hiring plans and affect private consumption。

However, the ECB's monetary policy decision (Thursday) will be in focus.。Markets expect ECB to leave interest rates unchanged, focusing investor attention on ECB press conference。ECB President Christine Lagarde and voting members have poured cold water on discussions of a rate cut。Outlook for the economy, inflation and interest rates will be of interest to investors。

German consumer confidence figures for February also need to be taken into account on Friday。Weak consumer confidence could signal a pullback in consumer spending。Falling consumer spending could further impact German economy。German private consumption accounts for more than 50% of the German economy。

Beyond numbers, ECB comments will sway markets。ECB President Christine Lagarde will speak on Monday and attend an ECB press conference。

Sterling:

On Wednesday, a preliminary private sector PMI will put sterling in the spotlight。Investors must focus on the services PMI as services account for more than 70% of the UK economy。

Growth in UK services activity could delay Bank of England discussion of rate cut。Retail sales plunged last week as UK inflation unexpectedly accelerated。Rising service sector input prices will be in line with Bank of England's plan to delay discussion of rate cut。

Beyond numbers, investors must pay attention to Bank of England speech。

Canadian Dollar:

On Wednesday, the Bank of Canada will decide on the short-term trend of the Canadian dollar.。Market Expects Bank of Canada to Hold Rates at 5.00%。However, inflation remains a concern.。Forward guidance on inflation and interest rate trajectories needs to be considered。Higher and longer-lasting interest rate paths may affect USD / CAD。

Real estate sector data (Monday) and wholesale sales data (Friday) are unlikely to affect the short-term trend of the Canadian dollar。

Australian Dollar:

Business confidence data for December will affect demand for the Australian dollar on Tuesday。Deterioration in business confidence environment could affect business investment and Australian labour market。

Worsening labour market conditions could affect wages and disposable income。Falling disposable income could reduce consumer spending, curb demand-driven inflation。

In addition, investors must pay attention to the stimulus rhetoric from Beijing。A meaningful stimulus package will boost demand for the Australian dollar。

China accounts for a third of Australia's exports。Stimulus plan could boost demand, support Australian economy and Aussie dollar。Australia's trade accounts for more than 50 per cent of GDP and 20 per cent of its workforce is in trade-related jobs.。

New Zealand Dollar:

On Wednesday, fourth-quarter inflation data will affect buying demand for the New Zealand dollar。Softer inflationary pressures will support a more moderate New West

RBA Interest Rate Path。

However, investors must consider the stimulus rhetoric and geopolitical risks from Beijing.。A strong stimulus package from Beijing would herald an increase in demand。However, rising geopolitical tensions could affect demand for commodity currencies.。

Japanese Yen:

Bank of Japan to keep yen in focus Tuesday。Market Expects Bank of Japan to Maintain Negative Interest Rates。However, forward guidance on when the Bank of Japan will shift from negative interest rates will cause concern among investors.。

Softer Japanese inflation eases pressure on Bank of Japan to exit negative interest rates。Wage growth and household spending data prompt bets that the Bank of Japan will maintain negative interest rates。March wage talks remain focus。

However, concerns about the macroeconomic environment and perceptions of inflation could cause the Bank of Japan to delay its decision to switch from after April.。

On Tuesday, the Bank of Japan's core consumer price index (CPI) data also needs to be taken into account.。Softer inflation data could signal delay in Bank of Japan turnaround。

Trade Data and Services PMI Data (Wednesday) Unlikely to Influence Views on Bank of Japan's Monetary Policy。Focus likely on inflation and wage growth。

However, Friday's Tokyo inflation data could affect expectations for Bank of Japan policy.。Continued decline in inflation towards the Bank of Japan's target (2%) could offset any bet on the Bank of Japan's turn。

RMB:

The People's Bank of China will set the tone for this week。On Monday, the People's Bank of China will set benchmark interest rates for 1-year and 5-year loans。Economists expect PBoC to keep lending benchmark rate unchanged。Lower benchmark lending rates could boost demand for more risk assets and commodity currencies, including the Australian and New Zealand dollars。

Beyond numbers, investors must consider stimulus rhetoric from Beijing。