- We witnessed a strong performance from sterling against the US dollar and euro on Thursday with GBP/USD gaining by 0.8% and GBP/EUR gaining by 0.86%.
- GBP/USD opened at 1.2448 but rallied during the course of the day as the pound bounced back from the effects of Wednesday’s GDP release.
- US jobless claims came in roughly as expected at 244k vs 242K expected.
- GBP/EUR opened at 1.1784 before closing near the high of the day at 1.1827.
- US Treasury Secretary Mnuchin said he wants to see very significant tax reform passed the August Congress Recess. He also said the they are aiming for 3% growth and hope to reach this level by the end of next year.
- The ECB’s Nowotny said he sees no reason to change eurozone interest rates this year.
- The RBA’s Lowe said last night that there are more effective ways to stimulate demand than cutting rates and that the RBA would prefer a lower AUD rate.
- Slim pickings on the data front today with the only data of note being Canadian CPI m/m at 1.30pm and New Home Sales from the US at 3pm.