Euro rallies as dollar weakens

It was a bright start to the day for the Pound yesterday as the Eurozone posted negative figures for Markit services, Spain were the only country in the Euro to post positive figures but despite that the Pound rallied on gaining around a cent on the Euro. Aiding the push, the UK also released Markit Services data gaining 0.1% on the previous recording. The bad news for the Euro didn’t stop there as further into the morning Eurozone Retail sales posted 0.2% lower than the previous figure. Come the afternoon the Euro fought back due negative US Markit service data and gained around half a cent back on sterling, however this negative data from the US witnessed the Pound gain over 2 cents on the Dollar, a great opportunity for dollar buyers as this has been the best levels seen in over the last 3 weeks.

Today could see high volatility in the market as the Bank of England governor Mark Carney speaks. The topic of conversation will be surrounding the decision not to raise the interest rate in the UK. Although the FED took action and raised their interest rate the Bank of England are holding firm and still being coy on any further information on when we could see a hike in the rate. Later in the day data comes from the US as Jobless Claims is released as is factory orders data. Tomorrow the Reserve Bank of Australia hold a meeting regarding the monetary policy statement. The US release Non Farm payroll information followed by the unemployment rate.

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