Little in the calendar to excite markets today.
Good morning everyone,
Little in the calendar to excite markets today but looking ahead, aside from tomorrow’s ECB policy announcement, Friday will be a bumper day for releases and events, which will include the Bank of Japan policy decision and first estimates of Q1 GDP for the US, UK, France and Spain. With the exception of Spain, quarter-on-quarter growth rates are forecast to have slowed.
Currency Movements - GBP/EUR: Traders are suggesting that while the currency pair continues to trade between €1.1380’s - €1.1440’s a break above the €1.1460’s could be a sign that the rate might move back into the €1.15’s. On the other end, a continued struggle to break the €1.1440’s could see the rate move into the €1.13’s and a move lower than €1.1380’s could see the rate move back into the high €1.12’s.
GBP/USD: After a modest recovery yesterday, back to $1.40, traders are suggesting that with the expected weak UK data later this week, we shouldn’t see the rate move any lower than $1.3855. While on the top end, the best we could see is a recovery to $1.4050's - $1.41’s.
Anyone looking to make exchanges in the coming weeks should contact their broker to create a currency strategy ahead of volatile days like this Friday.
|Upcoming Key Data (Wed, Thur & Fri)
12:00pm EUR Euro-Zone Consumer Confidence
12:00pm USD Mortgage Data
03:30pm USD Crude Oil Inventories
07:00am EUR GkF Consumer Confidence
07:30am GBP Loans for House Prices
12:45pm EUR European Central Bank Rate Decision
01:30pm EUR ECB President Draghi's Media Briefing After Policy Decision
01:30pm USD Durable Goods Orders
06:30am EUR French GDP
08:55am EUR German Employment data
09:30am GBP UK GDP
01:30pm USD US GDP
03:00pm GBP BoE's Mark Carney Speaks in London