Foremost Currency Group

Make the most of your currency

Talk to our friendly team:+44 (0)1442 892060

Bank of England (BoE) Interest Rate Cut Bets Decrease after Strong UK Job Report

Pound News: UK Job Market Report Leads to Pound Rebound

The Pound finally found some solid support yesterday, as UK job market data beat expectations. However, as Bank of England (BoE) interest rate cut bets persist the Pound’s potential for gains was limited.

Today’s UK data will be less significant. The CBI’s factory and retail stats could cause some Pound movement, but investors may prefer to await Friday’s key PMI projections before making more big moves on the British currency.

 

Euro News: Jump in Economic Sentiment Slows EUR Losses

The Euro held its ground better against a strong Pound and US Dollar yesterday, thanks to some supportive Eurozone data. ZEW’s German and Eurozone economic sentiment survey results came in well above expectations in every notable print, boosting hopes of a Eurozone economic recovery.

Reaction to this morning’s French business confidence data is likely to be limited, with Eurozone investors highly anticipating tomorrow’s European Central Bank (ECB) policy decision.

 

US Dollar News: USD Runs Out of Steam as Rivals Strengthen

The US Dollar’s rebound from last week ran out of steam yesterday. Concerns about a China virus outbreak led to higher demand for the US Dollar’s rival, the safe haven Japanese Yen (JPY). This and a more resilient Euro left the US Dollar weaker.

US housing data and national activity data from Chicago Fed could cause US Dollar movement today, as could developments in global safe haven demand.

 

Canadian Dollar News: CAD Jittery as Manufacturing Weakens Ahead of BoC Decision

The Canadian Dollar continued to slide ahead of today’s anticipated Bank of Canada (BoC) policy decision. Concerns about a China virus outbreak, as well as yesterday’s weaker than expected Canadian manufacturing sales results, both left Canadian Dollar investors less optimistic.

Today will be the biggest session of the week for CAD investors. If Canada’s December inflation rate or BoC policy decision surprise investors, the Canadian Dollar could see a big shift in direction.

 

Australian Dollar News: Global Crises Jitters Hit AUD Hardest

Due to Australia’s close relationship with China’s economy, the Australian Dollar was hit by concerns of a coronavirus in China causing economic damage. This, combined with fears about the lasting Australian bushfire crisis, is keeping AUD among the worst performing major currencies this week.

Reaction to Australia’s latest consumer confidence data from Westpac is likely to drive Australian Dollar movement today, as well as any further developments in the virus and bushfire issues.

 

Upcoming Data

 

Wednesday, 22nd January

Australian Westpac Consumer Confidence

07:45    French Business Confidence

11:00    UK CBI Business Optimism

11:00    UK CBI Industrial Trends Orders

13:30    US Chicago Fed National Activity Index

13:30    Canadian Inflation Rate

13:30    Canadian Wholesale Sales

15:00    Bank of Canada Policy Decision

 

James Spurway
Director of Sales and Dealing

© Copyright 2013 to 2020 | Foremost Currency Group Ltd | All rights reserved