Previous Day's Market Highlights
Cable fell below 1.30 yesterday for the first time since 5 September, 2017. This followed another batch of under-forecast UK data as Retail Sales unexpectedly contracted month-on-month. Sterling weakness was seen across the board, and it fell below 1.12 against the euro.
However, it fared better elsewhere, recovering morning losses as a stronger US dollar weighed on the commodity currencies. Weekly US Jobless Claims fell to 207K, the lowest since 1969. Euro-dollar briefly fell below 1.16. The dollar later came under pressure after President Trump criticised rising interest rates and dollar strength.
|Currency Pairing||08:00 Today||Vs 08:00 Yesterday||Four-Week High||Four-Week Low||% Change|
Today's Market Highlights
Sterling remains under pressure this morning, again testing the 1.30 level. Overall, it’s a relatively quiet calendar day as the UK’s Public Sector Net Borrowing came in higher than forecast but had a muted impact on the pound. Brexit uncertainty continues to pose a risk to the pound’s strength.
The afternoon calendar is all about the Canadian dollar. Retail Sales are forecast to have recovered and CPI to have picked up, both of which could lend support to the loonie (13:30). The main event next week is the European Central Bank meeting, which investors will watch for any updates on the ECB’s inflation and interest rate expectations.
Today's Economic Calendar
|9:30am||GBP||Public Sector Net Borrowing (Jun)||£3.500B||£3.356B|
|1:30pm||CAD||Retail Sales MoM (May)||1.1%||-1.2%|
|1:30pm||CAD||Core Retail Sales MoM (May)||0.7%||-0.1%|
|1:30pm||CAD||Consumer Price Index YoY (Jun)||2.4%||2.2%|
|1:30pm||CAD||Bank of Canada Core CPI YoY (Jun)||1.4%||1.3%|
|1:30pm||CAD||BoC Core CPI YoY (Jun)||22.0||19.9|