- The EU’s 27 remaining leaders formally agreed to the 21-month Brexit transitional agreement Friday morning. They also adopted negotiating guidelines allowing talks to advance to the final and arguably most difficult phase, the future UK-EU relationship.
- According to Bank of England Member Gertjan Vlieghe interest rates will probably need to rise once or twice a year over the next few years. These comments are likely to cement those views that a rate rise will happen at the Central Bank’s meeting in May.
- The UK’s trade chief Liam Fox said the UK would not rule out joining the Trans-Pacific Partnership (TPP) when it formally exits the European Union.
- Canadian Economic data was in focus Friday afternoon, with a raft of inflation readings set for release along with Retail Sales data. The headline figure was the CPI m/m print which rose more than expected during February, with inflation up +0.6%. a rise of +0.4% was forecast.
- The Core Retail Sales print was in-line with expectations at 0.9% for January.
- US Core Durable Goods Orders m/m 1.2% (0.5% Exp)
- US New Home Sales 618K (621K Exp)
Over The Weekend
- ECB Member Hansson said in an interview Friday evening that the ECB was on track to raise interest rates by the middle of 2019; the first hike since the financial crisis.
- New Zealand Trade Balance 217M (-100M Exp)
- US President Trump has temporarily made 6 nations exempt from steel tariffs. The 6 include the European Union, Canada, Mexico, Argentina, South Korea and Brazil. They will be exempt from the tariffs until the 1st May whilst discussions continue.
- Quiet day in prospect with no economic data set for release.
|Currency Pair||Interbank Rate||% Change on Day|
|Time (GMT)||Region||Data Release||Forecast||Previous|
|09.30||GBP||High Street Lending||39.2K||40.1K|
|10.30||EUR||ECB Member Weidmann Speaks|
|17.30||USD||Fed Member Dudley Speaks|
|21.30||USD||Fed Member Mester Speaks||-0.4Bn||-11.6Bn|