Posts Tagged ‘FED’
Policy Decisions and Data Releases Set to Drive Market Volatility
Interest Rates & Inflation Snapshot Region Interest Rate Inflation UK 4.00% 3.6% Eurozone 2.15% 2.2% United States 3.75% 3.0% Overview Markets head into a busy week dominated by central bank decisions and key economic data across the UK, Eurozone, and United States. In the UK, attention centres on the labour market, inflation, and the Bank…
Read MoreMarkets Poised Ahead of Crucial Fed Decision This Week
Last Week’s Market Overview The week began with U.S. ISM Manufacturing PMI for November coming in slightly weaker at 48.2 (vs. 48.6 expected and 48.7 previously). Markets then turned their focus to a speech from Fed Chair Powell on Tuesday. In the Eurozone, preliminary November inflation data showed a softer mix: The UK also awaited…
Read MoreUK Budget Adds to Sterling Headwinds; USD Volatile Ahead of Key Data
Key Macro This Week’s Economic Calendar (Key Releases / Events) Day / Region Key Data / Event Why It Matters Mon 1 Dec ISM Manufacturing PMI (US) + final manufacturing PMIs (EUR, UK, US) Insight into manufacturing activity, may influence Fed & ECB expectations, risk sentiment. Tue 2 Dec Eurozone CPI (flash), eurozone unemployment rate;…
Read MoreMarkets This Week: Inflation, Jobs and Policy Moves
Rates & Inflation Overview Region Interest Rate Inflation UK 4% 3.8% EU 2.15% 2.1% US 4% 3% Key Market Updates United Kingdom (GBP) Wednesday 12th – Consumer Price Index (07:00) Leading indicator of inflation. Market Impact:A further decline would typically weaken the GBP. The UK remains around 1.8% above the 2% inflation target. A rise…
Read MoreSterling Struggles, Euro Awaits CPI, Dollar Eyes Jobs Data
Interest Rate / Inflation Zone Interest Rate Inflation UK 4% 3.8% EU 2.15% 2% US 4.25% 2.9% Key Market Updates GBP Sterling remains under pressure, with markets watching the Labour Party conference for any signs of unfunded spending. Such signals could weigh on gilts and GBP. Focus will then turn to Bank of England speakers,…
Read MoreMarkets Brace for Pivotal Week: BoE and Fed Decisions in Focus
Interest Rates & Inflation Region Interest Rate Inflation UK 4.0% 3.8% EU 2.15% 2.1% US 4.5% 2.9% GBP Sterling faces a pivotal week with key data releases ahead of the Bank of England’s policy decision on Thursday. EUR The Pound to Euro slipped back towards 1.1550 last week after UK growth data disappointed and the…
Read MoreJackson Hole Countdown: Will Inflation Tip the Scales?
Summary A data heavy week lies ahead, culminating in the Jackson Hole Economic Policy Symposium. Markets are poised for significant FX moves around UK CPI and activity data, FOMC minutes and Chair Powell’s address, and President Lagarde’s remarks alongside Euro Area PMIs. The near term direction for USD, GBP, and EUR will hinge on whether…
Read MoreKey Economic Data and Political Moves Set to Drive FX Markets This Week
Interest Rates & Inflation Region Interest Rate Inflation UK 4.00% 3.6% EU 2.15% 2.0% US 4.50% 2.7% Last week in FX markets: The pound experienced notable volatility, with GBP/USD edging higher amid firmer UK data suggesting an uptick in economic resilience. Stronger-than-expected inflation and employment signals helped buoy Sterling against the US dollar, as markets…
Read MoreDollar on the Back Foot as Political Risks Rise
GBP: Trade Deal with the U.S. Supports the Pound The pound strengthened last week, supported by the announcement of a UK–U.S. trade agreement. The deal reduced tariffs on British automotive and aerospace exports, boosting optimism around UK trade and economic prospects. Sterling also benefited from broader dollar weakness. GBP/USD climbed from 1.3377 to 1.3726 over…
Read MoreTense Times: Data, Dovish Shifts, and Global Risks Drive FX Sentiment
GBP: Steady for now, but data and BoE commentary keep the market on edge Sterling held firm at the start of the week, supported by the Bank of England’s cautious tone. Despite keeping rates unchanged at 4.25% last Thursday, policymakers continue to signal that any move lower will be slow and data-dependent. Governor Andrew Bailey…
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