A Quiet End to the Week

It was a quiet day on the calendar yesterday. Sterling saw steady gains throughout the morning against the EUR (0.5%) and a slightly smaller move against USD (0.25%). These were partly due to the CBI Distributive Trade Survey showing the retail sales volume index at 22 from a forecasted 10. The gains in the morning against the EUR were short lived and during the afternoon we saw a 0.4% drop off; putting us in the same area as the open.

Previous Day's Market Highlights

It was a quiet day on the calendar yesterday. Sterling saw steady gains throughout the morning against the EUR (0.5%) and a slightly smaller move against USD (0.25%). These were partly due to the CBI Distributive Trade Survey showing the retail sales volume index at 22 from a forecasted 10. The gains in the morning against the EUR were short lived and during the afternoon we saw a 0.4% drop off; putting us in the same area as the open.
 
During the afternoon, we saw a large amount of USD strength due to the durable goods orders at 13:30 coming in at 6.5% against a forecasted 3%. In addition, WoW unemployment claims out of the US came in at 244,000 against a forecasted 241,000Sterling-dollar dropped by 0.7% within the next two hours and Euro-dollar dropped by around 0.4%.
 
Despite seeing further gains in oil prices; with Brent crude now well over $50 a barrel. Canadian dollar remained unchanged against most major currencies and slightly weakened against sterling. Oil prices are continuing to climb since Monday’s OPEC meeting with Saudi Arabia complying with output cuts.

Today's Market Highlights

It is a very busy day for data in the Eurozone today. This morning, French GDP from Q2 showed an acceleration in growth, with the data from Spain expected to follow suit with a similar outcome. German Harmonised Consumer Price Index however, is expected to further slowdown from 1.5% to 1.3%.
 
From the US, GDP is forecast to have risen by 2.6% on an annualised basis, an improvement from Q1’s 1.4% rise. It’s been another tough week for the dollar but such data could see a small recovery.

Today's Economic Calendar

Time Currency Release Consensus Previous
13:30 CAD GDP m/m 0.2% 0.2%
13:30 USD Advance GDP q/q 2.5% 1.4%