Newsletter – 9th May 2017

Morning Bulletin


  • We witnessed a mixed day for sterling yesterday as GBP/EUR pushed higher above 1.18 but with GBP/USD losing ground.
  • GBP/EUR opened at 1.18 then dropped slightly to 1.1768 before rallying by just under 0.7% to close the day at 1.1857.
  • On Friday we saw sterling break out of its recent range to the upside against the US dollar but this momentum cooled yesterday as GBP/USD came off by just under a a third of a percent to close at 1.2940.
  • The US dollar gained across the board yesterday with EUR/USD gains from the French election outcome reversing during Monday’s session. EUR/USD had opened at 1.0997, briefly touch 1.1023 before falling away 1.0922 – a level within the range that the pair has been trading within for the past fortnight.
  • The ECB’s Mersch claimed yesterday that the eurozone recovery is spreading by sector and geography whilst gathering momentum.
  • In day that was very short of economic data, German factory orders m/m for March came in as expected at 1% whilst Halifax HPI m/m for the UK came in below expectations at -0.1% vs 0.1% expected.
  • Australian retails sales m/m fell short of expectations at -0.1% vs 0.3% expected – this kept GBP/AUD’s upwards momentum so that it pushed above 1.75 for the first time since September 2016.
  • Another slow day in terms of economic data releases ahead of us with only three pieces of data of note.
  • At 10.30am we have the annual budget release from Australia before Canadian building permits m/m at 1.30pm and JOLTS job openings from the US at 3pm.
Currency Pair Interbank Rate % Change on Day
GBP/EUR 1.1859 +0.1
GBP/USD 1.2950 +0.08
EUR/USD 1.0919 -0.03
AUD/USD 0.7348 -0.46


Time (GMT) Region Data Release Forecast Previous
10:30 AUD Annual Budget Release
13:30 CAD Building Permits m/m 4.2 -2.5
15:00 USD JOLTS Job Openings 5.67M 5.74M