Yesterday was a relatively quiet day in the way of data with no releases of major note. In the morning we saw a raft of Eurozone CPI data all of little consequence and interestingly al coming in as expected. It was only the German and Eurozone ZEW economic survey results that came in under expectation – for the Germans down to 8.6 from an expected 18.2 and for the Euro zone down to 23.7 from 41.3. As a result through the day’s trading the pound stole around half a cent against the Euro, whilst USD lost some slight ground against GBP and EUR.
Today we have a much busier day in the way of data as we see the UK and Eurozone release a number of reports – so expect a fair degree of movement in the rates as we see GBP and EUR go head to head. Early morning we have a large number of Euro reports including CPI, wholesale, and some inflation data to name but a few. Albeit that none of these are releases of major note, given the number of them this certainly has the ability to move rate and indeed will provide a flavour for current Eurozone recovery/performance.
These releases are then followed by UK unemployment, and average earnings data, then back to Europe for Industrial data before finally coming back to the UK as we see the main data release of the day as the BoE inflation report is released and we hear from Mark Carney. With the timing of data from both sides are we in for a bumpy ride?
Later in the afternoon we have US Retail sales for the Greenback which will be an interesting one to watch – a release of major note….will we see the USD continue to slowly regain strength as it has done in the past few weeks?
Certainly the focus on today is GBP/EUR as we see a large number of releases from both sides and also interestingly the timings of the releases should prove for an interesting day as indeed we could see a rollercoaster on the market, particularly given US retail sales in the afternoon which could spice up the mix even more.
Keep in close contact with your CI broker for some friendly and professional guidance and to avoid any potential disappointment should the market move – Currency Index can help you stay well informed and well ahead of the market.