Previous Day's Market Highlights
Yesterday was a quiet calendar which saw a correspondingly muted tone in currency markets. Sterling-euro held below 1.14 and sterling-dollar failed to re-break 1.33. Euro-dollar saw more movement, heading higher towards 1.17, a level it’s held below since 14 June, when the ECB announced it would wind down its QE programme this year but keep interest rates on hold until at least next summer. Sterling recovered weekend losses against the commodity currencies to trade at Friday afternoon levels.
Trade concerns remained in focus as the US considers further tariffs, weighing on risk sentiment and markets in particular.
|Currency Pairing||08:00 Today||Vs 08:00 Yesterday||Four-Week High||Four-Week Low||% Change|
Today's Market Highlights
The Bank of England is in focus this morning. MPC Member Haskel is testifying on his appointment to the MPC before the Treasury Select Committee (10:00 BST). MPC Member McCafferty, whose term expires at the end of August, will speak on monetary policy at the Official Monetary and Financial Institutions Forum. Markets will look for signals as to Haskel’s views ahead of August’s policy decision. Chief Economist Andy Haldane joined McCafferty and Saunders in voting for a hike at the June meeting, increasing market expectations of a possible August rise.
In the afternoon, the S&P/Case-Shiller Home Price Indices release is forecast to be unchanged at 6.8%. Of more interest may be speeches from Fed Members Bostic (18:00) and Kaplan (18:45), although they’ll take place after the European close. Another fairly quiet day overall could keep exchange rates around current levels.
BoE Governor Carney holds a press conference on the Financial Stability Report tomorrow.
Today's Economic Calendar
|10:00am||GBP||MPC Member Haskel Speaks|
|10:30am||GBP||MPC Member McCafferty Speaks|
|2:00pm||USD||S&P/Case-Shiller Home Price Indices YoY (Apr)||6.8%||6.8%|
|6:00pm||USD||Fed Member Bostic Speaks|
|6:30pm||USD||Fed Member Kaplan Speaks|
|11:45pm||NZD||Trade Balance MoM (May)||$100M||$263M|