Key economic data releases to test Sterling

Yesterday saw a continuation of sterling strength as it gained nearly half a cent on the Euro throughout the day’s trading. This has given the pound some much needed breathing space, however this could be short lived as this week see a flurry of key economic data releases to test Sterling of most coming out of the UK which is sure to shake the markets. Given Sterling’s current fragile state a bad reading for the UK data releases could bring more doom and gloom and reverse the gains seen from the past few days. GBP/EUR spikes have been few and far between as of late and this current spike in the rates may be a good opportunity to take advantage, to find out how you can secure the rate on our forward contract option get in touch with your account manager.

Economic data releases today

The UK will releases inflation figures this morning at 9.30am, the figure is expected to come in at 2.8% which should this be the case will better last months reading of 2.6%, however if the figure was to be lower than it is to be expected that Sterling will suffer and revert back to the familiar downward trend it has been on for some months. Tomorrow the unemployment rate is also to be released in the UK with what has been the only consistent positive data the UK has seen but not providing the pound with a boost that it usually would have before the days of Brexit. Finally on Thursday the bank of England will be announcing the interest rate which is expected to remain unchanged.

To keep up to date in what will be a busy week of economic data releases keep in contact with your account manager here at currency index so you don’t get caught out should the market take a turn for the worse after economic data releases and ongoing currency news.