Newsletter – 7th August 2018

Morning Bulletin


  • Sterling lost more value yesterday against the euro and US dollar following International trade secretary Liam Fox commenting that the chance of a ‘no-deal’ Brexit was 60:40.
  • GBP/EUR fell from 1.1238 to close at 1.1202 representing a 0.32% fall on the day.
  • Cable dropped and closed below the significant 1.30 level. The market opened at 1.30 and traded a low of 1.2920 before eventually closing down 0.43% at 1.2944.
  • EUR/USD fell from 1.1567 before trading a low of 1.1530 and closing at 1.1553.
  • European firms have been instructed that they should not comply with demands from the White House for them to drop all business with Iran. Those who decide to pull out because of US sanctions will need to be granted authorisation from the European Commission. (The Guardian)
  • Australia kept rates at 1.50% overnight as expected.
  • GBP/AUD, GBP/NZD and GBP/JPY are trading at 1.7443, 1.9199 and 144.24.
  • Halifax HPI m/m came in better than expected from the UK this morning at 1.4% vs 0.2% expected.
  • PM Theresa May is to hold talks with Scottish First Minister Nicola Sturgeon during a visit to Edinburgh. May will likely come under pressure from Sturgeon who will want the PM to set out how a future relationship with the EU will look following Brexit.
  • We have what looks to be another quiet day on the data front today. At 3pm we have Ivey PMI from Canada.
Currency Pair Interbank Rate % Change on Day
GBP/EUR 1.1192 -0.09
GBP/USD 1.2961 +0.14
EUR/USD 1.1579 +0.23
AUD/USD 0.7431 +0.60


Time (GMT) Region Data Release Forecast Previous
15:00 CAD Ivey PMI 64.2 63.1
TENTATIVE NZD GDT Price Index -1.7%