Previous Day's Market Highlights
Sterling briefly picked up ahead of data showing that the government recorded its first July surplus in 15 years but otherwise remained subdued yesterday. Sterling-euro briefly fell below 1.0900 and sterling-dollar inched closer to 1.2800.
The dollar saw a bid tone against both the pound and the euro, after euro-dollar met resistance the previous day around a one-week high and as attention shifted from recent political tensions in the US and abroad.
Economic Sentiment fell more than forecast in both Germany and the Eurozone. The releases briefly weighed on the euro, adding to euro-dollar's morning declines.
Canadian Retail Sales slowed more than expected, but core sales jumped 0.7%. The Canadian dollar jumped approximately 0.5% against the pound, correcting back above 1.6100 in overnight trading.
The kiwi dollar came under pressure following the release of New Zealand’s pre-Election Economic and Fiscal Update, which included cuts to economic growth and budget surplus forecasts. The Aussie dollar followed the kiwi lower.
|Currency Pairing||08:00 Today||Vs 08:00 Yesterday||Four-Week High||Four-Week Low||% Change|
|GBP / EUR||1.0908||1.1248||1.0896||3.13%|
|GBP / USD||1.2825||1.3272||1.2808||3.50%|
|EUR / USD||1.1756||1.1912||1.1612||2.52%|
|GBP / NZD||1.7751||1.7929||1.7398||2.96%|
|GBP / CAD||1.6139||1.6727||1.6057||4.01%|
Today's Market Highlights
With little out on the calendar for the pound, sterling may remain subdued as its tests recent lows against the euro and the dollar. Gains in Services PMI and New Home Sales could offer the dollar support this afternoon (14:45, 15:00 BST).
Fed Member Kaplan speaks at the Permian Basin Petroleum Association (14:05 BST) and markets will watch for any clues on the direction of monetary policy.
Oil prices and Crude Oil Inventories (15:30 BST) will be in focus for Canadian dollar traders this afternoon. Brent Crude is currently trading above $51 a barrel, whilst US WTI is trading under $48.
Today's Economic Calendar
|14:05||USD||Fed Member Kaplan Speaks|
|14:45||USD||Preliminary Markit Manufacturing PMI (Aug)||53.3||53.3|
|14:45||USD||Preliminary Markit Services PMI (Aug)||54.9||54.7|
|15:00||USD||New Home Sales MoM (Jul)||0.612M||0.610M|
|15:00||EUR||Preliminary Eurozone Consumer Confidence (Aug)||-1.8||-1.7|
|15:30||USD||EIA Crude Oil Inventories (Aug 18)||-3.375M||-8.945M|
|23:45||NZD||Trade Balance YoY (Jul)||$-3.507B||$-3.660B View full currency blog|