FX Brief: Pound slides again

Fawad Razaqzada TradingCandles.com

Another day, another sell-off for the pound. The beleaguered currency just can’t catch a break with Brexit uncertainty continuing to overshadow any positive news, for example, this morning’s stronger wages data. The dollar rose ahead of US retail sales, industrial production and speeches from a couple of Fed officials including Chair Jay Powell.
Stocks remain supported – for now – as earnings come in thick and fast. Yesterday Citigroup kicked off bank earnings, reporting a mixed set of results. Today saw JPMorgan beat on both fronts with an EPS of $2.82 vs. $2.50 expected on revenue of $29.57 billion vs. $28.64bn expected. Goldman Sachs’ EPS of $5.81 easily beat $4.89 expected but revenues beat at $9.46 billion vs. 8.8 billion expected. Crude oil was probing resistance ahead of inventories data later
On the data front, it has been a mixed day so far. New Zealand CPI met expectations with a quartet +0.6% print. German ZEW missed at -24.5 when -22.1 was expected. In the UK wages beat but jobless claims missed: Average Weekly Earnings +3.4% in the three months to May vs. 3.1% expected and 3.2% last (revised); Earnings excluding bonuses +3.6% vs. 3.5% expected and 3.4% last, and Claimant Count Change came in at +38K vs. +19K eyed. Here is what is coming up next:

Author

Fawad Razaqzada

TradingCandles.com

Experience Fawad is an experienced analyst and economist having been involved in the financial markets since 2010 working for leading global FX, CFD and Spread Betting brokerages, most recently at FOREX.com and City Index.

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