Previous Day's Market Highlights
The pound rallied yesterday as the ONS revised up a measure of labour cost inflation, which investors view as supporting the possibility of a BoE rate hike. Additional support stemmed from an easing in concerns over a challenge to the Tory leadership. Sterling-dollar regained 1.3100 and sterling-euro briefly broke 1.1200.
The Turkish lira plummeted as tensions with the US rose and both countries suspended visa services.
Yesterday was a holiday in both the US and Canada, which contributed to US dollar weakness, as did speculation that new members next year might lead to a less hawkish Fed.
|Currency Pairing||08:00 Today||Vs 08:00 Yesterday||Four-Week High||Four-Week Low||% Change|
|GBP / EUR||1.1179||1.1433||1.1008||3.72%|
|GBP / USD||1.3167||1.3664||1.3027||4.66%|
|EUR / USD||1.1777||1.2033||1.1669||3.03%|
|GBP / NZD||1.8624||1.8742||1.8036||3.77%|
|GBP / CAD||1.6480||1.6798||1.5938||5.12%|
Today's Market Highlights
UK Manufacturing and Industrial Production figures surprised to the upside, offering the pound brief additional support this morning, while trade data showed a wider-than-forecast deficit. Brexit negotiation concerns remain a risk.
Releases this afternoon include NIESR’s GDP estimate for the three months through September and Canadian housing data (13:00, 13:15 BST).
Fed Member Kashkari will give the opening remarks at the Regional Economic Conditions Conference (15:00 BST). Kashkari is one of the Fed’s dovish members and earlier this month expressed hesitation on raising rates again before inflation hits the Fed’s 2% target rate.
Investors will keep an eye on additional guidance ahead of the release tomorrow of the Fed’s latest meeting minutes.
Today's Economic Calendar
|13:00||GBP||NIESR GDP Estimate 3M (Sep)||0.4%|
|13:15||CAD||Housing Starts s.a. YoY (Sep)||210.0K||223.2K|
|13:30||CAD||Building Permits MoM (Aug)||-1.0%||-3.5%|
|15:00||USD||FOMC Member Kashkari Speaks|
|17:00||EUR||Catalan Parliament Session|