Economic data releases connect the primary economy to foreign-exchange markets

Evidence

On an economic level, schedules create points of interface between the primary economy and secondary, cambist markets-that is, the data released at scheduled events describe the firstorder economy in terms of indicators of productivity, unemployment, and consumer confidence; indicate interest rate changes; and so on. Participants and analysts interpret the meaning of these events contained in stories that define a currency’s long-term and short-term market prospects and situation in the context of the event (see also Mars 1998; Stark 1998). — Karin Knorr Cetina & Urs Bruegger, Global Microstructures, 97

Categorization

• DEFINE: Defines the cambist/secondary market and how scheduled data releases form the interface between the real economy and FX trading.