The UK calendar was quiet yesterday bar a RICS housing release which showed that there has been a marked increase in the cost of property. The news, however, wasn’t considered to be of a lot of importance and so didn’t have much impact on GBP strength.
Today will be similarly quiet, with the only data to note being construction output.
On the mainland, Greece provided more drama yesterday when strikes there turned violent. We also see ECB chief, Mario Draghi, say that QE may be extended while deposit rates could be slashed. Core inflation seems to be of concern as it’s been seen to stall.
This morning we have already seen both France and Germany release Q3 growth data – both at 0.3%.For the French, the figure has been something of an improvement from Q2, although for Germany the number reveals a slight slowdown. We’ll shortly see GDP data for the Eurozone as a whole released.
As with the UK, the US only had one real data release of note yesterday which was initial jobless data. While 270,000 had been expected, the figure came in at 276,000 which was worse than wanted and had bit of a knock on USD strength. While we did see a number of Fed members speak yesterday, nothing concrete (as usual) was mentioned about a rate hike so for now it’s just more speculation about when that might happen.
Today will be a bit more exciting for the US data calendar as we see the release of retail sales for last month. With that being a good indicator of economic health, we can expect the result to have some bearing on USD performance.
FC Exchange is a trading name of Foreign Currency Exchange Limited. Registered office: Salisbury House, Finsbury Circus, London, EC2M 5QQ. Registered No.5452483. Authorised by the Financial Conduct Authority (No.511266) under the Payment Service Regulations 2009 for the provision of payment services. HM Revenue & Customs MLR No.12215508. Copyright © 2013 Foreign Currency Exchange. All Rights Reserved.
Recommended Content
Editors’ Picks
EUR/USD retreats to 1.0750 as USD recovers
EUR/USD stays under modest bearish pressure and trades slightly below 1.0750 in the European session on Wednesday. Hawkish comments from Fed officials help the US Dollar stay resilient and don't allow the pair to stage a rebound.
GBP/USD drops below 1.2500 ahead of Thursday's BoE event
GBP/USD stays on the back foot and trades in negative territory below 1.2500 after losing nearly 0.5% on Tuesday. The renewed US Dollar strength on hawkish Fed comments weighs on the pair as market focus shifts to the BoE's policy announcements on Thursday.
Gold price trades with mild positive bias, despite a firmer US Dollar
Gold price attracts some buyers during the Asian trading hours on Wednesday. Safe-haven demand, fueled by geopolitical tensions and uncertainty, as well as ongoing central bank purchases, might contribute to a rally in gold.
Ethereum resume sideways move as Grayscale files to withdraw Ethereum futures ETF application with the SEC
Ethereum is hinting at a resumption of a sideways movement on Tuesday after seeing inflows for the first time in seven weeks. Grayscale withdrew its application for an Ethereum futures ETF, and the SEC’s Chair Gary Gensler has also called most crypto assets securities.
No obvious macro catalysts to steer the bus
The US data calendar remains relatively light, with initial jobless claims and the University of Michigan survey being the key focus. However, these releases may not provide a significant catalyst for the next directional move in the US Dollar.