Previous Day's Market Highlights
Sterling softened yesterday as a quiet data calendar left attention on remaining Brexit uncertainties and as Barnier said there would be no bespoke deal for the financial services sector. The dollar had a limited reaction to the Senate’s passing of the controversial tax bill, which now goes to the House.
GBP/EUR briefly dipped below 1.13 and GBP/USD fell towards 1.33 after meeting resistance around 1.34. Mixed US data saw Housing Starts pick up more than expected but Building Permits slow. The market impact was limited.
The kiwi weakened as Current Account and trade deficits came in wider than forecast.
|Currency Pairing||08:00 Today||Vs 08:00 Yesterday||Four-Week High||Four-Week Low||% Change|
|GBP / EUR||1.1303||1.1509||1.1133||3.27%|
|GBP / USD||1.3385||1.3550||1.3212||2.49%|
|EUR / USD||1.1841||1.1961||1.1717||2.04%|
|GBP / NZD||1.9198||1.9836||1.9080||3.81%|
|GBP / CAD||1.7211||1.7468||1.6843||3.58%|
Today's Market Highlights
Brexit headlines and the US tax bill will remain in focus amongst a relatively light calendar day. BoE Governor Carney will testify before the Treasury Select Committee on the Financial Stability Report from 13:15 GMT. Markets will interpret the comments for any hints as to the future of monetary policy, and focus on risks, particularly from Brexit, could weigh on the pound. Otherwise, the testimony may have limited market impact.
In the afternoon, the US releases Existing Home Sales (15:00 GMT), which typically has a limited effect on the dollar, and Canadian dollar traders will keep an eye on Wholesale Sales and US EIA Crude Inventories (13:30, 15:30 GMT).
Overnight, slower economic growth in Q3 may weigh on the kiwi dollar.
Today's Economic Calendar
|13:00||EUR||German Buba President Weidmann Speaks|
|13:15||GBP||BoE Governor Carney Speaks|
|13:30||CAD||Wholesale Sales MoM (Oct)||0.5%||-1.2%|
|15:00||USD||Existing Home Sales MoM (Nov)||5.52M||5.48M|
|15:30||USD||EIA Crude Oil Inventories (15 Dec)||-3.769M||-5.117M|
|21:45||NZD||GDP QoQ (Q3)||0.5%||0.8%|
|21:45||NZD||GDP YoY (Q3)||2.3%||2.5%|
|00:01||GBP||Gfk Consumer Confidence (Dec)||-12||-12|