Morning Bulletin


  • Sterling made ground on both the euro and US dollar yesterday.
    • GBP/EUR opened at 1.1132, traded a low of 1.1115 and a high of 1.1171 before closing at 1.1151.
    • GBP/USD opened at 1.2795 and trade a high of 1.2924 before closing closing at 1.2896 representing a 0.79% move on the day.
  • The US dollar fell following comments by President Donald Trump criticising the Federal Reserve specifically its recent approach to monetary policy. This prompted fears of a slowdown in the pace at which the central bank will hike rates.
  • In an interview with Reuters Trump said he is ‘not thrilled’ that his choice of Fed chair Jerome Powell has continued to raise rates since February.
  • The dollar weakened following these comments with EUR/USD rallying by three quarters of a percent eventually closing the day at 1.1570.
  • Trump’s former lawyer Michael Cohen  has pleaded guilty in a New York court to violating campaign finance laws which he said was done so at the direction of Trump for the principal purpose of influencing the election. The admission was related to hush money paid to Trump alleged mistress (BBC News).
  • UK public sector borrowing came in better than expected at -2.9B vs -2.1B.
  • Retail sales from New Zealand came in better than expected at 1.1% vs 0.4%, core retail sales came in at 1.4% vs 0.8%.
  • Construction work done q/q in Australia came in at 1.6% vs 0.7% expected.
  • GBP/AUD, GBP/NZD and GBP/JPY are trading at 1.7543, 1.9256 and 142.18.
  • At 1.30pm we expect m/m retail sales from Canada.
  • Following that we have existing home sales, crude oil inventories and the latest FOMC meeting minutes over the course of the afternoon.
Currency Pair Interbank Rate % Change on Day
GBP/EUR 1.1117 -0.30
GBP/USD 1.2888 -0.06
EUR/USD 1.1586 +0.14
AUD/USD 0.7646 -0.26
Time (GMT) Region Data Release Forecast Previous
13:30 CAD Core retail sales m/m -0.1% 1.4%
13:30 CAD Retail sales m/m -0.1% 2.0%
15:00 USD Existing Home Sales 5.4M 5.38M
15:30 USD Crude Oil Inventories -1.6M 6.8M
19:00 USD FOMC Meeting Minutes