Euro under pressure as Dollar finds new grounds

3 February, 2014

Tom Arnold

This week begins with the Pound still in the driving seat against most currencies, but with the Dollar making significant gains following the FED’s tapering of their stimulus arrangements by $10bn. The Euro is under pressure, as the Dollar’s new found popularity, coupled with another bailout of Greece being necessary and recent data failing to impress, makes in very much the least attractive of the major currencies.

This week has plenty of data home and abroad:

European Manufacturing PMI
UK Manufacturing PMI
US Manufacturing PMI

Australian Interest Rate Decision
UK Construction PMI
European PPI
New Zealand Unemployment

European Services PMI
UK Services PMI
European Retail Sales
US Mortgage Approvals
US Non-Manufacturing PMI

Australian Retail Sales
UK Interest Rate/Asset Purchase Decision
ECB Interest Rate Decision + Press Conference
US Jobless Claims
US Trade Balance

Australian Monetary Policy Statement
UK Industrial + Manufacturing Production
UK Trade Balance
US Nonfarm Payrolls + Unemployment
UK GDP Estimate

With much volatility likely, it is essential you stay in close contact with your CI account manager to keep abreast of what is happening across the markets and how it is likely to impact your upcoming currency purchase.