Markets still buoyed by hints of Fed cut ahead of ECB and NFP

GBPUSD

 

  • At midday in London, GBP was the strongest and NZD the weakest, with EUR mixed as EUR/GBP has pulled back to our noted 0.89 support level on the back of stronger UK wages and weaker Eurozone investor confidence data this morning.

  • UK Average Earnings Index including bonuses came in at +3.1% vs. +2.9% expected on a 3m/y basis, while excluding bonuses they were up +3.4%, greater than +3.3% expected. Pound also boosted by comments from BoE’s Saunders, who stated earlier in the session that the bank will ‘probably’ need to return to a neutral policy stance sooner than markets expect.

  • Eurozone Sentix Investor Confidence printed -3.3 vs. 2.3 expected, but not much data to look forward to from North America today, with the exception of PPI perhaps. Making up the numbers will be the IBD/TIPP Economic Optimism and NFIB Small Business Index

  • Overall a quiet day in the markets with equities broadly higher despite renewed threat of China tariffs from Trump, which were brushed aside.

Risk Warning Notice Foreign Exchange and CFD trading are high risk and not suitable for everyone. You should carefully consider your investment objectives, level of experience and risk appetite before making a decision to trade with us. Most importantly, do not invest money you cannot afford to lose. There is considerable exposure to risk in any off-exchange transaction, including, but not limited to, leverage, creditworthiness, limited regulatory protection and market volatility that may substantially affect the price, or liquidity of the markets that you are trading. Margin and leverage To open a leveraged CFD or forex trade you will need to deposit money with us as margin. Margin is typically a relatively small proportion of the overall contract value. For example a contract trading on leverage of 100:1 will require margin of just 1% of the contract value. This means that a small price movement in the underlying will result in large movement in the value of your trade – this can work in your favour, or result in substantial losses. Your may lose your initial deposit and be required to deposit additional margin in order to maintain your position. If you fail to meet any margin requirement your position will be liquidated and you will be responsible for any resulting losses.

Analysis feed

Latest Forex Analysis

Editors’ Picks

EUR/USD's range play continues ahead of Eurozone Consumer Confidence

EUR/USD remains directionless despite the drop in the US treasury yields. An above-forecast Eurozone Consumer Confidence will likely push the pair higher to the trendline falling from June highs. 

EUR/USD News

GBP/USD sits at 2-month tops ahead of key Brexit talks

Fresh optimism surrounding the Brexit deal propels GBP/USD to a two-month high. Brexit talks between the EU's chief negotiator Michel Barnier and UK Brexit Secretary Stephen Barclay will be the key.

GBP/USD News

USD/JPY: Bears eyeing break below 107.45

USD/JPY trades modestly flat, with the bias leaning to the downside, as we wind down into the close for the week following a data-heavy number of sessions which have left more questions unanswered and the outlook murky. 

USD/JPY News

Markets unmoved by Fed cut and pause

The Federal Reserve’s latest twist in monetary policy, reducing the fed funds for a second time in two months and then pausing for instructions has left markets without a clear direction on interest rates. Equites ended mixed.

Read more

Gold holds on to recovery gains amid trade/political pessimism

In addition to bouncing off multi-month-old rising trend-line, Gold gains support form recently downbeat trade/political headlines while taking the bids to $1,500 during Friday’s Asian session.

Gold News

Forex Majors

Cryptocurrencies

Signatures