Newsletter – 28th March 2018

Morning Bulletin

Yesterday

  • We had another quiet day in terms of economic data yesterday with only three releases of note.
  • Spanish Flash CPI y/y came in soft at 1.2% vs 1.5% expected. M3 money supply from the Eurozone also missed expectations coming at 4.2% vs 4.6%. From the US, CB consumer confidence produced a figure of 127.7 which fell short of the expected 131.2.
  • GBP/EUR printed its third consecutive day of losses after falling from 1.1426 to trade a low of 1.1367 before recovering somewhat to close at 1.1416.
  • GBP/USD followed a similar pattern opening  at 1.4226, trading a low of 1.4066 before recovering and closing at 1.4156.
  • Elsewhere, Kim Jong Un’s visit to China was confirmed and he is said to be willing to hold summit with the US
  • The UK Government has told Irish officials to expect new plans “imminently” from Britain on how it plans to avoid a post-Brexit hard border. (The Times).
  • The Bank of America have been the latest institution to declare they are ‘tactically long’ sterling during April stating the Pound tends to outperform its peers in the month historically.
Overnight
  • ANZ Business Confidence from New Zealand came in at -20 overnight, slightly worse than -19 last time out.
  • GBP/NZD, GBP/AUD and GBP/JPY are currently trading 1.9541, 1.8498 and 149.44, respectively.
Today
  • This morning we saw Credit Suisse economic expectations came in from Switzerland at 16.7.
  • At 12.30pm we expect a final GDP q/q figure from the US, followed by crude oil inventories at 2.30pm and a speech from FOMC Member Bostic at 4pm.
Currency Pair Interbank Rate % Change on Day
GBP/EUR 1.1429 +0.11
GBP/USD 1.4175 +0.13
EUR/USD 1.2401 +0.00
AUD/USD 0.7661 -0.21

 

Time (GMT) Region Data Release Forecast Previous
12:30 USD Final GDP q/q 2.7% 2.5%
14:30 GBP Crude Oil Inventories 0.5M -2.6M
16:00 USD FOMC Member Bostic Speaks