Today’s economic data agenda offers several points of interest for forex traders, though none is expected to trigger immediate, significant market moves.

The key highlights include the preliminary Purchasing Managers’ Indexes (PMIs) from Australia, which indicate continued economic expansion across all three sectors. This is positive news for the Reserve Bank of Australia (RBA), yet it contrasts with the persistent high inflation troubling the Bank. As a result, the RBA has shifted from a dovish stance to a more hawkish approach. For example, Citi now forecasts two RBA rate hikes in 2026, anticipated in February and May, reflecting rising inflation risks.

Turning to Japan, preliminary PMIs are also due today but are not expected to be as robust as Australia’s figures. However, other recent data from Japan have been encouraging. The Bank of Japan’s Tankan survey showed an improvement in the large manufacturing index for the third quarter, while the October Tertiary Industry Index rose 0.9 per cent month-on-month, beating expectations of 0.2 per cent and the prior 0.3 per cent increase. These positive signals have fuelled market expectations of a 25 basis point interest rate hike by the Bank of Japan at its upcoming meeting on 18-19 December, helping the yen to strengthen.

Lastly, the consumer confidence figures from Westpac deserve attention. The November reading displayed a surprising 12.8 per cent jump, which some found hard to credit. Traders will be interested to see if today’s update continues this upward trend.

Times in the economic calendar are GMT. Previous results are shown alongside consensus forecasts to help gauge market expectations.

Original Source: Eamonn Sheridan of investinglive.com