On the upcoming economic calendar for Friday, January 16th there are three key news items to be aware of, all of which are coming from the United States.

At 08:30 the core CPI report will be released. The CPI measures the average price of a fixed market basket of goods and services purchased by consumers, and therefore gives an overall read of Inflationary pressures. It is the most widely used inflation indicator of central banks, institutions, and governments. It is used to calculate cost of living numbers for government programs. Economists have an expectation of 0.1 percent for the monthly core reading.

Next, at 09:00, the TIC data will be released. This report measures the difference in value between foreign long term securities purchased by U.S. citizens and long term U.S. securities purchased by foreigners during the reported period. This is important because demand for domestic securities and the demand for that countries currency can be directly linked since in order to buy the securities you must do so in the domestic currency. Analysts are expecting this month's reading to rise from last month's paltry 1.5 billion to 8.0 billion.

Lastly, at 09:55 the University of Michigan will be releasing their preliminary consumer sentiment index. The preliminary report tends to have the most impact. The University of Michigan surveys about 500 consumers and asks each to rate their level of current and future economic conditions. Analyst's expectations are for a reading of 59.2