- Sterling dropped off against the other majors yesterday falling by half of a percent against the US dollar and by over 0.6% against the euro.
- GBP/USD opened at 1.3197 and closed at 1.3130 after trading a high of 1.3227 on the day whereas GBP/EUR opened 1.1229 and closed at 1.1159.
- European Council President Donald Tusk said it was up to Britain to determine if there was to be a good deal or no deal in Brexit talks.
- We had Flash manufacturing PMI from the Eurozone yesterday with manufacturing PMI coming in at 58.6 vs 57.9 expected and services PMI coming in at 54.9 vs 55.7.
- US President Trump said that his tax reform plans will bring back $4 trillion back to the US.
- He also said that if the North American Free Trade Agreement (NAFTA) did not work then they would have create a new NAFTA.
- CNBC were reporting that Trump asked for a ‘show of hands’ on who he should make Fed Chair with John Taylor thought to have won despite Trump not announcing the winner.
- Australian CPI q/q came in weaker than expected overnight at 0.6% vs 0.8% expected. Trimmed Mean CPI q/q came in at 0.4% vs 0.5% expected.
- GBP/NZD is trading 1.9101, GBP/JPY is trading at 149.91 and GBP/AUD is trading at 1.7069.
- This morning we saw data from the UK in the form of preliminary GDP q/q which came in better than expected at 0.4% vs 0.3%.
- Sterling rallied off the back of this, trading up a fifth of a percent from the lows of the day.
- At 1.30pm we have durable goods orders data from the US before the Bank of Canada release their monetary policy report and rate statement at 3pm.
- Following that we have US new home sales which is expected to come in at 555K.
|Currency Pair||Interbank Rate||% Change on Day|
|Time (GMT)||Region||Data Release||Forecast||Previous|
|13:30||USD||Core Durable Goods Orders m/m||0.5%||0.5%|
|13:30||USD||Durable Goods Orders m/m||1.0%||2.0%|
|15:00||CAD||BOC Monetary Policy Report|
|15:00||CAD||BOC Rate Statement|
|15:00||USD||New Home Sales||555k||560k|
|16:15||CAD||BOC Press Conference|