BoE To Determine Further Sterling Gains
For the British Pound, the main event of the week ahead will be the Bank of England’s August policy report on Thursday. Market analysts will also be keeping on both domestic and global Covid trends which are still, in the near term driving the direction in the UK currency. Should the Bank of England strike a more optimistic hawkish tone, the Pound could rally.
Moving onto rates, GBP/USD opens above the 1.39 with GBP/EUR also looking firm and trading above the 1.17 region. The EUR/USD is picking up having dropped off during Friday’s trading to begin the week around the 1.1885 mark.
Focus this week will be on PMI data from the world’s largest economies for insight into the economic recovery and an advance insight into gross domestic products (GDP), industrial production, employment and inflation. China’s landed in the early hours and later in the week we get Eurozone, India, UK, US and Japan.