Daily Archives: July 19, 2010
Pound Sterling has a key week ahead against Euro Dollar and every major currency – Important data releases every day
Good afternoon – The Pound has a few extremely important releases of note this week and you should be fully aware of the following should you have an upcoming transaction to make.
Tomorrow we have Public sector net borrowing at 09:30am and this is expected to have dropped by around £3Billion so any change to this prediction may lead to market volatility.
Wednesday brings us the Bank of England minutes at 09:30am – many of you will remember that we now have one member of the Bank of England’s monetary policy committee voting in favour of a rate hike, this we show exactly how the MPC voted at the start of the month – more than one member in favour of a hike may lead to major Sterling strength however there are sure to be comments within the minutes regarding fiscal policies going forward and these may push the market either way.
On Thursday Retail sales data for June is due out at 09:30am which will give a good indication as to just how much consumers are spending at the moment in the shops, expected is a minor increase to 2.4% from 2.2% previously.
Friday is in my opinion the biggest potential market mover potentially for the Pound as we have Gross Domestic Product data due out for the second quarter of 2010. This releases shows whether or not the economy grew or shrunk during this period and could give an indication as to whether or not there is the chance of a double dip recession. Expected is for growth to have risen to 0.6% from 0.3% which in my opinion I would be surprised to see considering just how much talk of trouble there is but obviously anything can happen.
All of these important releases are due out in the morning so if you have a transaction to make or merely would like to put in a stop or limit order to protect yourself should the market really shift against you.
If you have any upcoming transaction to make be it buying or selling Sterling it would be prudent to let me know by filling in the contact form on the right hand side of this page straight away so I can keep you up to date should the market move either in your favour or against you to maximise your chance of getting the best rate possible.
The GBP has gained just under 5% v’s the SEK (Swedish Kronor) this year, although sterling was up almost 10% at the end of June. Recent loses have been seen across the board for the pound, but can also be attributed to SEK strength to a certain extent. Economic releases from Sweden have been positive. A 2% increase in house prices last week, coupled with strong consumer confidence figures has helped support the SEK.
Swedish Bank’s have also managed to stay out of the European banking problems, which has had a seriously negative effect on the EUR. This has helped support the SEK against the Euro, Sterling and USD.