Major Forex Indicators

Certain financial indicators have a history of moving the financial markets when the actual numbers don't match consensus. This article explain what some of the better financial indicators are and the ones traders should pay close attention to when trading the forex market.

APICS Survey - The APICS survey provides detailed information of the manufacturing sector. This survey is less well known than the ISM, but can also suggest trends in production.

Business Inventories - The degree of inventories in relation to sales is an important signal of the near-term direction of production activity.

Chain Stores Sales - It is monthly sales volumes from department, chain, discount and apparel stores. Sales are reported by the individual retailers. Chain store sales are an indicator of retail sales and consumer spending results.

Construction Spending - Data are available in nominal and real (inflation-adjusted) dollars. Because of their forex trading strategies, businesses only put money into construction of new factories or offices when they are sure that demand is strong enough to justify the expansion.

Consumer Confidence - It is study of consumer attitudes concerning both the present position as well as expectations regarding economic conditions conducted by The Conference Board.

Consumer Price Index (CPI) - It is measure of the average price level of a fixed basket of goods and services purchased by consumers.

Current account - It is a measure of the country's international trade balance in goods, services and unilateral transfers.