Previous Day's Market Highlights
A fairly quiet day on the currency front yesterday. We saw key ECB decision makers discus major fiscal policies such as ending its QE programme. Meanwhile, BoE’s Tenreyro has said that the UK can afford to leave rates on hold in May because it will soon have a much clearer picture of economic performance. As a result we saw the EUR gain 0.2% against GBP throughout the morning session.
In the afternoon session, Canada’s trade deficit in April narrowed to the lowest in six months as imports slumped and exporters continued to show signs of strength. As a result we saw GBP/CAD depreciate from 1.7390 down to as low as 1.7292, followed by a reasonable recovery by close of play.
Finally, oil prices dropped on Wednesday after US data pointed to an unexpected build in crude and gasoline stockpiles. Results came in at 2.072M vs expectations of -1.824M. Analysts had been looking for crude inventories to decrease by 1.8m barrels, and smaller builds for gasoline and distillates of 587,000 and 784,000 barrels, respectively.
|Currency Pairing||08:00 Today||Vs 08:00 Yesterday||Four-Week High||Four-Week Low||% Change|
Today's Market Highlights
A quiet day for data today sees little in the way of major economic releases in either the European or American sessions. Traders are therefore likely to look towards political stories, especially in light of the Brexit ‘backstop’ plan that has recently been leaked and is set to be formally revealed today.
For sterling traders, the only piece of note is the release of Halifax HPI figures for the month of May at 8:30AM, expected to show a month on month increase of 1.1% in the price of homes in the UK. Later in the morning session we see the release of Eurozone revised GDP for the first quarter, expected to remain unchanged at 0.4%.
This afternoon’s calendar is also sparsely populated with the only data of note being the US Initial Jobless Claims at 1:30, forecast to show 223k individuals filing for unemployment benefit for the first time in the last week.
Today's Economic Calendar
|8:30||GBP||Halifax HPI m/m||1.5%||1.1%|
|15:30||CAD||BOC Financial System Review|
|16:00||GBP||MPC Member Ramsden Speaks|