Newsletter – 26th April 2017

Morning Bulletin


  • There wasn’t a great deal of data released yesterday however there was once again plenty of movement in FX markets, particularly where the ‘Commodity’ currencies were concerned.
  • These currencies typically include the Kiwi, Aussie and Canadian Dollar and all three were subject to severe weakening over the course of yesterday’s trading.
  • The Canadian Dollar was under pressure following President Trump’s plans to place a 20% tariff on softwood lumber exported to the US by Canada. President Trump didn’t stop at the Lumber trade either, having tweeted the following: “Canada has made business for our dairy farmers in Wisconsin and other border states very difficult. We will not stand for this. Watch!”
  • Subsequently the Canadian Dollar traded at its worst levels of the year versus Sterling (1.7491), The Euro (1.4907) and the US Dollar (1.3614).
  • The UK’s budget deficit fell to its lowest level since the financial crisis yesterday morning. It was reported that the UK Government borrowed £52 billion over the last financial year, down £20 billion from the previous year.
  • Mixed data out of the United States yesterday afternoon:
    • CB Consumer Confidence 120.3 (123.7 Exp)
    • New Home Sales 621K (590K Exp)

  • Australian CPI q/q 0.5% (0.5% Exp)
  • New Zealand Visitor Arrivals m/m 1.5%
  • Japanese All Industries Activity m/m 0.7% (0.8% Exp)

  • Incredibly sparse data calendar for the day ahead.
  • The only data of note will be Canadian Retail Sales due for release at 1.30pm.
Currency Pair Interbank Rate % Change on Day
GBP/EUR 1.1743 +0.03
GBP/USD 1.2820 -0.13
EUR/USD 1.0913 -0.12
AUD/USD 0.7493 -0.55


Time (GMT) Region Data Release Forecast Previous
09.00 CHF Credit Suisse Economic Expectations 29.6
10.05 EUR ECB LTRO Result
10.30 ZAR South Africa PPI m/m 0.6%
13.30 CAD Core Retail Sales m/m -0.2% 1.7%
13.30 CAD Retail Sales m/m 0.0% 2.2%
14.15 GBP Chancellor Hammond Speaks on Budget