One Week Until E Day

23 March, 2017

Nakhil Mahra

Yesterday saw Sterling positive market movement on the back of favourable data from the UK. A rise in inflation, which was largely unpredicted, at 2.3% a four-year high, saw the Sterling peak to a three-week high against the USD. The Euro still holding its own, however, on the back of the French election debate meaning gains against the Euro were only marginal. With Le Pen falling behind in the latest polls and Macron edging ahead on Monday nights debate.

With Article 50 now only a week away, with Theresa May expected to formally announce the official process next Wednesday and no UK data releases today, the sterling will be hoping to hold its own through the day and relying on other data releases to go its way. With both the EuroZone and the USA expecting to announce key data releases today we could yet, however, see yesterday’s gains short-lived and got back to the figures we saw towards the start of the week. With EU looking to announce the Non-monetary policy meeting and the US to advertise the house rice index the GBP could yet be making moves in the market throughout today.

With several data releases still to come this week, there is still time for the rates to yo-yo up and down before the weekend. To stay in touch and keep on top of the news stay in close with your account manager throughout the week.