1. German Unemployment Rate
2. U.S. Gross Domestic Product
3. Canadian Gross Domestic Product
4. U.S. Chicago PMI

German ILO Unemployment Rate (Oct) (7:00GMT, 2:00EST)
Consensus: N/A
Previous: 8.4%

Outlook: Unemployment, as reported by the International Labor Organization, is expected to have remained high, around the previous month's levels, during October. High oil prices continued to put pressure on the budgets of many businesses, not allowing for a large amount of hiring. Though the rate should remain high, a slight recovery from the previous 8.4 percent figure is possible since the unemployment rate reported by the national Federal Labour Agency actually declined during October to 11.6 percent from 11.7 percent. This, however, may not signal a recovery for the country as most of the hiring was of low wage, part time employees. As unemployment continues to be a problem in the Euro-zone, governments are pushing the ECB to rethink its expected decision to raise interest rates on December 1. The Bank, however, believes that the economy can withstand a 25 basis point raise and will gain more benefit from lower inflation.

Previous: German unemployment fell to a seasonally adjusted 8.4 percent in September from 9.2 percent the month prior, according to the ILO. Although this was certainly an improvement, it was based mostly on a decrease in the labor force after many young people who were in the market for summer jobs went back to school. Also, many elderly people left the labor force officially to take advantage of social security benefits, which will expire at the end of 2005. Overall, economic growth across the Euro-zone continues to suffer with high jobless numbers in France, Spain, Finland, Belgium and Germany. On the basis used by the national Federal Labour Agency, Germany actually saw its unemployment rise slightly during the month. The unemployment rate in the country stood at 11.7 percent, a number similar to the high jobless rates seen after World War II. Although this is not the highest rate in the Euro-zone, the continuously high number of unemployed workers in Germany is pulling down economic growth and severely discouraging consumer spending.

U.S. Gross Domestic Product (3Q P) (13:30GMT, 8:30EST)
Consensus: 4.1%
Previous: 3.8%

Outlook: The advanced GDP estimates for the US will likely be adjusted upward, according to a Bloomberg survey of 66 economists. Third quarter GDP price index figures will likely show a 4.1 percent increase over third quarter 2004. However, Economists who predicted a 3.6 percent fourth quarter growth just over a month ago now predict fourth quarter growth of 3.2 percent. Though the economy was presumable even stronger than expected in the third quarter, the real concern is the waning prognosis for the rest of the year as inflationary estimates sit at 3.9 percent compared to a 2.4 percent estimate last quarter. The Fed has been trying to keep inflation at bay by raising rates to keep higher energy prices from spilling over into goods and services prices. However, in light of cost pressures on corporations, economists have cut their job creation forecasts to 89,000 jobs a month in the fourth quarter compared to last month's estimate of 190,300 a month. Meanwhile, rising consumer inflation has kept consumers' spending power down with real average hourly earnings only achieving one increase in the past four months up to and including October.

Previous: Second quarter GDP grew at a strong 3.3 percent fueled by consumer spending and homebuilding, which increased at 3.4 percent and 10.8 percent respectively. The nine quarters leading up to the second quarter 2005 mark the longest streak of the economy growing at an annual rate of over three percent since March 1986, when the economy accomplished a 13-quarter streak. The Commerce Department's initial estimate for third quarter GDP growth released on October 28th showed the economy grew by 3.8 percent in the third quarter, beating consensus estimates of 3.6 percent as the economy overcame Hurricane Katrina the higher energy costs that it brought. Surprisingly, initial inflation estimates suggest that overall prices actually rose at their slowest pace since second quarter 2003 and wage gains, up 2.3 percent on a year-over-year basis, were their smallest since 1981.

Canadian Gross Domestic Product (MoM) (Sep) (13:30GMT, 8:30EST)
Consensus: 0.1%
Previous: 0.5%

Outlook: The Canadian GDP is expected to have grown 0.1 percent during September, coming down from the 0.5 percent growth seen in August when the manufacturing sector rebounded. The economy, being a net exporter of petroleum products, took advantage of continuously rising oil prices during the month, with profits booming at mining and oil companies. Construction, especially residential in the cities, is also seeing gains. However the stronger Canadian dollar, driven up partially by the higher commodity price, is continuing to hurt both exporting industries, which are losing their price advantage, as well as the country's recorded net export position since many of its exports are valued in foreign currencies. The economy as a whole still seems to be operating near capacity and growing strong.

Previous: Canada's GDP expanded more than expected in August, growing by 0.5 percent the fastest pace since July 2004, up from a gain of 0.2 percent in July. The Canadian economy has grown for five straight months - the longest string of growth in three years - telling the Bank of Canada that it may need to raise rates yet again to slow growth and keep inflation in check. The manufacturing sector saw a rise of 1.7 percent, the greatest since June 2004, as demand for transportation equipment and plastic and rubber products rose and the sector continued to adjust to the 30 percent rise of the Canadian dollar against the US dollar. The mining, oil and gas sectors took advantage of rising oil prices as well, expanding 0.7 percent during the month. Overall, this puts growth for the Canadian economy to grow at a faster pace in the third quarter than the current Bank estimate of 2.8 percent.

Chicago Purchasing Managers' Index (NOV) (15:00GMT, 10:00EST)
Consensus: 60.0
Previous: 62.9

Outlook: A measure of economic activity in the Midwestern region surrounding Chicago, the Chicago Purchasing Managers' Index is likely to post a strong reading of 60.0 for November. Although this is a slight decline from October, an index value greater than 50 signals industrial growth. Recent increases in the purchasing of new homes and durable goods have reflected a rise in consumer confidence stemming from a sharp decline in energy prices. Manufacturers are likely to respond to this positive sentiment by continuing to increase production in the coming months. Chicago-based Boeing, for example, plans to increase airplane deliveries by one-third in the coming year to meet heavy demand and a long list of backorders which built up during the recent strike. In spite of bolstering demand, producer's inventories in the Chicago area fell minimally in October, which may have contributed to manufacturers cutting back slightly on last month's rate of expansion.

Previous: The Chicago PMI fared much better than economists expected in October when it jumped to 62.9 as opposed to realizing the expected fall to 57.4. This is the highest value the index has reached since July after cooling down in August and September following the Gulf Coast storms. The hurricanes had hampered consumer confidence, which lead managers to cut back on production and purchase fewer inputs. As household incomes rebounded in September, consumers' inclination towards spending increased, which encouraged factories' customers to pick up the pace on orders to meet consumer demands. The index measure of new orders rose dramatically to 72.6, the highest since March of this year, reflecting the strengthening momentum behind increasing expenditures.

Richard Lee is a Currency Strategist at FXCM.