Previous Day's Market Highlights
The pound edged lower yesterday across the board as Retail Sales growth in Q3 slowed to a four-year low. Sales were down 0.8% from August to September. Sterling retreated to one-week lows against the euro and the dollar. The dollar gained after the Senate’s budget approval was seen as possibly paving the way for tax reform. Euro-dollar headed lower after hitting highs around 1.1850.
The kiwi dollar remained under pressure on news that the Labour Party had won enough support to form a government. Spain proceeded with Article 155 after Catalonia maintained its declaration of independence.
|Currency Pairing||08:00 Today||Vs 08:00 Yesterday||Four-Week High||Four-Week Low||% Change|
|GBP / EUR||1.1109||1.1433||1.1069||3.18%|
|GBP / USD||1.3127||1.3596||1.3027||4.19%|
|EUR / USD||1.1816||1.2005||1.1669||2.80%|
|GBP / NZD||1.8769||1.8818||1.8367||2.40%|
|GBP / CAD||1.6411||1.6798||1.6350||2.67%|
Today's Market Highlights
Sterling has picked up this morning, correcting additional overnight losses that saw it dip below 1.1100 against the euro and 1.3100 against the dollar. UK Public Sector NetBorrowing will likely have limited impact barring any surprises (09:30 BST).
Politics remains at the forefront of traders’ attention as the European Council meets for a second day. The agenda includes a discussion of the progress made on Brexitnegotiations. EU leaders are expected to announce today that not enough progress has been made to move on to trade negotiations, which may weigh on the pound.
In the afternoon, attention turns to Canada, which releases August Retail Sales and September CPI data (13:30 BST). The figures will be closely watched ahead of next week’s Bank of Canada meeting. Any gains in inflation may heighten expectations that the BoC will maintain a relatively hawkish outlook after raising interest rates at its previous two meetings.
Fed Chair Yellen speaks this evening after the European close on “Monetary Policy Since the Financial Crisis” (00:30 BST).
Today's Economic Calendar
|24hr||EUR||European Council Meetings|
|09:30||GBP||Public Sector Net Borrowing (Sep)||£5.700B||£5.093B|
|13:30||CAD||Retail Sales MoM (Aug)||0.5%||0.4%|
|13:30||CAD||Core Retail Sales MoM (Aug)||0.3%||0.2%|
|13:30||CAD||Consumer Price Index MoM (Sep)||0.3%||0.1%|
|13:30||CAD||Core CPI MoM (Sep)||0.3%||0.1%|
|13:30||CAD||Core CPI YoY (Sep)||1.6%||1.4%|
|15:00||USD||Existing Home Sales (Sep)||5.30M||5.35M|
|18:00||USD||Fed's Mester Speaks|
|00:30||USD||Fed Chair Yellen Speaks|