Newsletter – 22nd October 2018

Morning Bulletin


  • UK Public Sector Net Borrowing 3.3Bn (4.6Bn Exp)
  • Eurozone Current Account 23.9Bn (21.4Bn Exp)
  • The Canadian Dollar was one of the worst performing currencies Friday afternoon following much weaker than expected economic data. Inflation plummeted to -0.4% during September, down on an expected rise of +0.1%; that meant annual inflation stood at 2.2%, down from 2.8% in August. Retail Sales reported a -0.1% fall against an expected rise of +0.3% in August with falling sales in gasoline a key reason for the decline.
  • The Canadian Dollar weakened aggressively in FX space following the data. Even the weak Pound got in on the act with GBP/CAD rallying from below 1.7000 to closing the day up at 1.7140.
  • US Existing Home Sales 5.15M (5.29M Exp)
  • Speaking Friday afternoon Bank of England Gov Mark Carney said the central bank were preparing the UK’s financial system for the consequences of a disorderly ‘cliff-edge’ Brexit, adding the weren’t simply hoping for the best, but instead preparing for the worst.

  • Japan All Industries Activity m/m 0.5% (0.4% Exp)
  • According to the Independent, UK PM Theresa May is set to tell the commons later today that 95% of the Brexit Deal is settled and that the ‘shape of the deal across the vast majority’ of the withdrawal agreement is now clear.
  • Speaking on the Andrew Marr show yesterday, UK Brexit Sec Dominic Raab has suggested the UK could be prepared to extend the post-Brexit transition period if it meant the EU would drop its proposals on the Irish border backstop.
  • US President Trump has said he as no intention of easing the trade tariffs imposed on China and that he doesn’t expect much from a potential meeting with President Xi at the G20 meeting next month.
  • Next to no data set for release today.


Currency Pair Interbank Rate % Change on Day
GBP/EUR 1.1336 -0.07
GBP/USD 1.3080 +0.15
EUR/USD 1.1537 +0.21
AUD/USD 0.7115 -0.06


Time (GMT) Region Data Release Forecast Previous
11.00 EUR German Buba Monthly Report
13.30 CAD Wholesale Sales m/m 0.1% 1.5%