Negative data for industrial production and trade balances
10 July, 2013
Tuesday morning brought with it the much anticipated UK manufacturing data release.
The Pound subsequently hit a 3-year low against the US Dollar ($1.4814) and a 4-month low against the Euro (1.1559) helped largely by negative data for industrial production and trade balances – all worse than expected. Things did pick up significantly, however, within hours, in the kindly form of the International Monetary Fund downgrading the growth forecast for the BRICS nations whilst, simultaneously, upgrading the outlook for the UK – timely indeed. This brought the GBP-EUR back up to above 1.16. This climb continued throughout the day, thanks to a combination of news that UK house prices have and will be increasing, and the NIESR GDP estimate coming in, with no change, at 0.6%. At the end of play, however, things were “heating up” nicely as the Pound climbed back up to above 1.1630. An unusual day in that the Pound lost and then gained around 3/4 of a cent against the Euro – a continuing show of the struggle and turmoil for both currencies.
Elsewhere in China, their inflation rate rose to 2.7% from 2.1% the month – a very large increase.
Today has seen China’s trade balance improve to 27.1B despite a fall in exports and imports, Germany’s CPI results coming in as expected at 1.8% as well as their HICP yoy and mom coming in on the nose at 1.9% and 0.1% respectively.
Later today sees the all-important Federal Open Market Committee minutes from the US of A which reviews the economic and financial situation over the pond, the 10 year note auction and the Federal Reserve boss Ben Bernanke’s speech which may determine short-term positivity…or negativity.
Madness in the markets continues – stay in touch with your CI broker to keep up with what is all-ahappening
- 2020 (59)
- 2019 (190)
- 2018 (229)
- 2017 (253)
- 2016 (254)
- 2015 (253)
- 2014 (252)
- 2013 (287)
- 2012 (270)
- 2011 (576)
- Brexit deal to be done, or going, going, gone? 25 November, 2020
- Sterling starts the week down from the highs of last week 16 November, 2020
- Votes are in – albeit still being counted, will Donald trump Joe? 4 November, 2020
- No categories