Dear Reader,
Here is an overview of today's economic news and market action:
- Cautious mood on markets throughout last week …
- Interest rate expectations hardened, most notably in the UK & US …
- However, FX markets were confined to narrow ranges …
- Sees EUR/USD open this morning in the top half of $1.09-1.10 …
- GBP/USD is operating withing $1.24-1.25 …
- EUR/GBP is trading in the lower half of 88-89p …
- US core-PCE inflation (Mar) will feature this week …
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Today's Opening FX Rates
| |
|
|
% Change |
| |
|
|
Day* |
End 2021 |
| EUR/USD |
1.0974 |
|
0.13 |
2.54 |
| EUR/GBP |
0.8837 |
|
0.26 |
-0.08 |
| GBP/USD |
1.2415 |
|
-0.14 |
2.63 |
| GBP/EUR |
1.1309 |
|
-0.26 |
0.08 |
| *versus Previous Day's European Open |
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Weekly Market View
A Cautionary Tale
The latest quarterly update from the IMF on the outlook for the world economy published last week saw little change to its forecasts from those issued in January and last October.
Weekly Market Brief: 24-28 April
Storm Clouds Gathering
- It is a tricky balancing act for central banks in trying to engineer a slowdown in economic activity to lower inflation, by tightening monetary policy, without going too far in hiking rates, and having an even greater contractionary impact on demand.
Forex and Interest Rate Outlook - March 2023
- Economic data have generally surprised to the upside in first quarter, helped by easing inflation. However, possible credit crunch and tighter lending standards new risk to activity
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