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EUR/USD German retail sales slumped 5.3% for December compared with expectations of a small increase which undermined confidence in the outlook and the Euro dipped lower after the European open. The Euro-Zone recorded a 0.1% GDP increase for the fourth quarter of 2022 compared with expectations of a 0.1% decline….
Sterling held firm at the open yesterday with a further test on breaking above 1.2400 against the US dollar. Although UK equities rebounded quickly from initial losses, overall risk appetite was slightly more cautious with US futures moving lower and this limited the scope for Sterling purchasing. The Pound started…
The early Monday European session has seen GBP vs USD come under some pressure. A shift to a more “risk off” mood in the market has led to flows towards the safe haven (USD) and as such, GBP is struggling to gain traction. Last week saw that US inflation is…
GBP The CBI retail sales report recorded a headline reading of -23 for January from 11 previously and well below consensus forecasts of -5. Retailers also expect sales to decline in February, but at a slower rate. Supplier orders declined again and stocks remained too high, reinforcing near-term concerns over…
26/01/2023 US: GDP Growth Rate QoQ Adv (Q4) US: Durable Goods Orders MoM (DEC) 26/01/2023 US: Core PCE Price Index YoY (DEC) US: PCE Price Index YoY (DEC) This morning GBP/USD is struggling to hold onto yesterday afternoon’s gains above 1.2400, after breaking through this strong resistance level. Yesterday’s…
Sterling slipped straight out of the traps with a negative reaction to the much larger-than-expected government borrowing figures for December. The UK manufacturing PMI improved to a 4-month high, but there was a dip in the services index (80% of the UK economy) to a 24-month low of 48.0. Services-sector…
Sterling failed to capitalise on headway made in the early hours of Monday morning and dipped to lows around 1.2325 against the dollar by market open. There were also further reservations over near-term UK economic trends. The Euro also drifted lower against the Dollar. The Bundesbank stated that the German…
At the London opening, GBP/USD is managing to maintain above 1.2400 despite last week’s inconsistent data releases which highlighted the UK’s current economic fragility. Hopes of future stimulus from UK PM Rishi Sunak in March’s budget announcement keep the pound supported, in what is otherwise a quiet start to the…
Bank of England Governor Bailey stated that the bank of England isn’t endorsing a 4.50% peak in interest rates but was more optimistic over the prospects of inflation falling quite rapidly from late spring. Although a UK recession is expected, Bailey predicts it to be relatively shallow by historic standards…
Sterling continued to edge higher following the latest UK inflation data. Although the headline data was in line with expectations, markets tended to focus on the increase in services-sector inflation with expectations that sticky inflation would lead to the Bank of England maintaining a more hawkish policy stance to curb…