Around the U.S Interest Rate Announcement

Dear Trader,

The U.S Interest Rate will be released today, March 16^th at 6:15pm GMT. Due to the expected influence of the announcement on the Forex market, we have collected for you a few trading ideas, which you might consider to take advantage of prior to the rate announcement -

Riskier assets soared higher during the week as equities and petroleum surged forward and the dollar retraced.  The Euro, the Aussie dollar, the loon and the pound all presented solid returns.  The S&P 500 Index formed a 2010 high, notching 10 straight points higher. The Nasdaq is closing in on the highs made prior to the 2008 collapse.

Today the retail sales figure is due with investors eyeing a fall of -0.2% MoM. Although the figure expected is negative investors bet on a March rebound in sales as snow storms and harsh winter conditions are considered to be the factors behind the dented February sales. Since the credit crisis has erupted consumer spending once the main driver of growth for the US has remained rather subdued. However with the current stabilization of unemployment settling at 9.7% and the Nonfarm figure falling less than expected, investors hope consumer spending is on the rise and will return gradually to be the catalyst of growth in the US economy.

Gold shed more than 30$ from its price in recent days settling      around 1,108$, as Greek debt woes and lower risk appetite loomed.    Although in the FX arena the Dollar trade rather stabilized with the    Euro and the Sterling rebounding from their lows Gold remained    under pressure. China has been a dominant factor in the latest Gold    selloff releasing a statement from Chinese officials that they prefer to  buy US debt over Gold. China as the world’s largest Gold producer and the holder more than 2 Trillion Dollars in reserves has a rather strong effect on Gold sentiment. Such a statement from China shacked confidence of Gold buyers pushing them to trim profits. In addition ETF holdings one of the strongest indicators of Gold demand also pointed weakness for Gold with figures showing softening demand for the Metal.