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Sterling had a difficult day yesterday as the Brexit headlines took their toll. Against the US Dollar, the Pound hit a five-and-a-half year low of 1.4536 before recovering overnight to open at 1.4612 this morning. Market expectations of a UK Rate Hike have now slipped to March 2017. European Retail…
Last night’s Federal Open Market Committee minutes indicated that the Fed do intend to hike rates by 25 bps four times in 2016. It had stressed however that economic conditions that will justify the hikes had to be gradual and data dependent. The minutes also confirmed that they do see…
The main economic highlight today is Eurozone inflation data in the form of a CPI reading. The core year-on-year CPI figure is expected to tick up slightly from 0.2% to 0.4%. However, if yesterday’s CPI data from Germany is anything to go by the result may be underwhelming. A weak…
A brief look back at 2015 shows a few momentous events we are unlikely to see again in a hurry. Last January the Swiss removed their currency peg to the Euro, sending rates into a tailspin. In May, the UK surprised itself by voting in a majority government causing Sterling…
As Christmas Day draws ever closer, it would seem that the only thing stirring us is the Euro. The bloc currency has been simmering away, proving just how resilient it is. After a long year of negativity, the once forsaken economy’s woes have either simply been forgotten or the news…
As we go into Christmas week, the calendar has few data releases across the board and any price action and market participation is likely to be reduced, although the low volumes could cause some volatility. We’ll see if some sort of Christmas rally can be mustered following what has so…
Janet Yellen raised US interest rates last night, for the first time in a decade, by 25bps to 0.5%. Though the market got what it had demanded, Yellen was cautious not to stoke volatility stating “the recovery has come a long way but is not yet complete…even after this increase…
Today could be the most anticipated Fed meeting of late -the markets are poised for a very possible first rate rise in 10 years. With so much expectation surrounding the hike, any lack of movement may actually cause more volatility for the Dollar across the board. The Greenback already started…
With no top tier data from the UK yesterday, the Pound was left at the mercy of the markets which didn’t bode too well, and resulted in Sterling softening by around 0.6% over the course of yesterday afternoon. One of the reasons for the losses came via Sterling’s response to…
US Retail Sales were below expectations on Friday, but showed improvement year-on-year at 0.2%. Excluding auto sales, the performance beat expectations in a month that included Black Friday sales. Trading patterns pushed the Dollar price to 1.5220 over the weekend, but this morning’s opening was little different from Friday, at…