Newsletter – 25th October 2017

Morning Bulletin


  • 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
GBP/EUR 1.1186 +0.24
GBP/USD 1.3172 +0.32
EUR/USD 1.1774 +0.10
AUD/USD 0.7707 -0.88


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 CAD Overnight Rate 1.00 1.00
15:00 USD New Home Sales 555k 560k
16:15 CAD BOC Press Conference