Sterling in the green today

Hi everyone,

Sterling has clawed back 0.5% against the majors today, amid reports MP's have options to still be able to block a 'no-deal' Brexit. Supposedly, MP's are drawing up plans to request a further Brexit extension from the EU. From there, MP's would look to bring down the Government in a no-confidence vote, before introducing new legislation stating the Government must ask for a Brexit extension which would then be followed by a general election. The report is significant and is the sole reason for the Pounds jump. 

We have been reporting all year that a recession is coming and on Friday saw a massive step into the direction for the UK. The economy shrank 0.2% in Q2 which was worse than the expected 0%. If the economy shrinks again in Q3, we would officially be in a recession. The chances are hard to predict with consumer spending, wage growth and employment figures propping up the rest of the failing areas. GDP growth stands at 1.2% lower than the 1.4% forecast and business investment, industrial & manufacturing production have all contracted. I would say just now there is a 30% chance. 

Last Friday saw some worrying signs that parity could well be realised for £-€ rates near-term. 1.0640 was recorded as the low of the day, which is incredibly a 10-year low. £-$ currently stands at an outrageous 34-year low. There is likely to be more records broken before a turnaround, but it's obvious just how far undervalued the £ is.

It's a busy week data-wise with the UK offering key figures daily. 

 

 

 

Upcoming Data
 

 

Tuesday, 13th August, 2019


06:00 EU - German CPI
08:30 UK - Unemployment rate, jobless claims & average earnings
09:00 EU - German & Euro-Zone survey expectations 
12:30 US - CPI & average earnings

15:00 US - Q2 debt & credit report
 

Wednesday, 14th August, 2019


06:00 EU - German GDP
08:30 UK - CPI, RPI, PPI & house price index
09:00 EU - Euro-Zone GDP, industrial production & employment 

11:00 US - Mortgage applications
12:30 US - Imp/Exp price index



Thursday, 15th August, 2019


08:30 UK - Retail sales
12:30 US - Retail sales & initial jobless claim
14:00 US - Business inventories


Friday, 16th August, 2019


09:00 EU - Euro-Zone trade balance
12:30 US - Housing starts & building permits

 
 
 

Dan Waterman
Office Manager

 
 
 
 
 
Image Image
Governing Bodies and Registrations

Excel Currencies ltd are fully registered by both the FCA (Reg No:540484) and HM Revenue & Customs (MSB No: 12190705) as a Money Services Business. Excel Currencies ltd are also members of the UK Money Transfers Association (MTA) and the Association of International Property Professionals (AIPP).

Security of Funds

Excel Currencies ltd operate a Safeguarding Client Account System which protects all funds in these accounts against any liabilities that Excel Currencies ltd may have. These accounts are held with Barclays Bank plc and each account is segregated individually.

Excel Currencies Ltd, Enterprise House, 8 Essex Road, Dartford, Kent DA1 2AU

Registered in England and Wales, No. 05171054

Copyright © Excel Currencies Ltd 2019. All Rights Reserved.

Help Options Available

Contact Us

Live Chat OFF Live Chat ON