Newsletter – 30th January 2018

Morning Bulletin

Yesterday

  • GBP/EUR posted losses for the third consecutive day yesterday falling 0.15% to close at 1.1368 after opening at 1.1386.
  • The US dollar continued to show signs of recovery after gaining across the board yesterday. GBP/USD fell by 0.44% to close at 1.4073 after opening at 1.4135 and EUR/USD fell from highs to close 1.2381 after opening at 1.2423.
  • A leaked government Brexit paper has suggested that the UK economy will grow more slowly outside the EU regardless of what deal is struck with Brussels. 
  • The report said that the UK economy would be 8% off if no deal is struck, 5% worse off if Britain negotiated a free trade deal and 2% worse even in the scenario where the UK would continue to adhere to the rules of the single market (BBC).
  • Personal spending m/m from the US came in worse than expected yesterday at 0.4% vs 0.5%
Overnight
  • New Zealand trade balance came in at 640M vs -125M expected.
  • GBP/AUD, GBP/NZD and GBP/JPY are currently trading at 1.7399, 1.9207 and 152.89.
Today
  • This morning we saw UK net lending to individuals m/m come in at 5.2B vs 4.8B expected.
  • At 10am we have preliminary flash GDP q/q from the eurozone.
  • This afternoon we CB consumer confidence from the US at 3pm.
Currency Pair Interbank Rate % Change on Day
GBP/EUR 1.1345 -0.20
GBP/USD 1.4072 -0.01
EUR/USD 1.2399 +0.14
AUD/USD 0.8086 -0.07

 

Time (GMT) Region Data Release Forecast Previous
10:00 EUR Prelim Flash GDP q/q 0.6% 0.6%
15:00 USD CB Consumer Confidence 123.2 122.1
15:30 USD BOE Gov Carney Speaks