- GBP/EUR opened at 1.1126 and traded a low of 1.1061 before closing at 1.1085 representing a 0.37% decrease in the value of sterling against the euro on Wednesday.
- GBP/USD fell by 0.19% on Wednesday .The market opened at 1.2634 and traded a high of 1.2679 before coming off to close at 1.2610.
- UK CPI y/y came in as expected at 2.3%. PPI input m/m came in better than expected at -2.3% vs -2.9% and RPI y/y came in at 3.2% in line with expectations.
- We also saw inflation data released from Canada.
- CPI m/m was as expected at 0.4%
- Common CPI also as expected at 1.9%.
- Median CPI y/y and trimmed CPI y/y both came in weaker at 1.9% vs 2.0% and 2.1%, respectively.
- The Federal Reserve in the US increased rates to <2.50% as expected in spite of warnings from Donald Trump against the move.
- US President Donald Trump announced his decision to withdraw US troops from Syria declaring IS has been defeated. However, major allies have disputed the claim and a US-backed alliance in Syria have said the withdrawal will allow the IS group to recover.
- Australian employment change came in at 37.0K vs 20.0K expected but the unemployment rate came in weaker at 5.1% vs 5.0% expected.
- The Bank of Japan held rates at -0.10%.
- UK retail sales came in much stronger than expected at 1.4% vs 0.3%.
- The Bank of England are expected to hold rates at 0.75% at midday today with all MPC members expected to vote to keep it unchanged.
|Currency Pair||Interbank Rate||% Change on Day|
|Time (GMT)||Region||Data Release||Forecast||Previous|
|12:00||GBP||MPC Official Bank Rate Votes||0-0-9||0-0-9|
|12:00||GBP||Official Bank Rate||0.75%||0.75%|