Economic Update 29 Apr 2024 6 minute read
Federal Reserve Meeting in Focus: US Expected to Hold Steady at 5.5%
It’s a quiet data week for GBP ahead of the Early May Bank Holiday weekend, with services industry data serving as the most notable on Friday. Markets will be preparing for next week’s Bank of England (BOE) meeting on Thursday which, based on current market expectations, will result in a sixth consecutive hold of the BOE’s...
Economic Update 22 Apr 2024 6 minute read
Surging Dollar raises investor caution amid geopolitical tensions
The pound dropped to a fresh year low against the USD at the end of last week's trading sessions as the Deputy Governor of the Bank of England, Dave Ramsden, highlighted easing price pressures in the UK. This could suggest that he has become more open to the possibility of an interest rate cut sooner...
Economic Update 15 Apr 2024 7 minute read
Will the safe-haven USD continue to strengthen after tensions escalate in the Middle East
The latest GDP growth data for the UK was released on Friday. It shows that the UK economy grew 0.1% in February and 0.3% in January (revised up from the 0.2% reported previously), which could indicate the UK economy is rebounding from its technical...
Economic Update 08 Apr 2024 7 minute read
Will US inflation surprise again?
UK month-on-month GDP growth data is expected to fall from last month's figure but still show that the UK economy is growing when it's released this Friday. Forecasts expect GDP to show the economy grew 0.1% in March, which could indicate that the worst may be over from the impact of high interest rates...
Economic Update 25 Mar 2024 6 minute read
Will sterling recover from the BoE’s dovish stance on interest rates?
Sterling was on the back foot last week and saw losses against most G10 currencies. Soft data releases were the primary trigger alongside a risk-off mood in the markets, which does not favour the riskier pound against more resilient currencies like the US dollar. Last week's UK CPI inflation data came out 0.1% lower than expected on...