Quiet week for data

20 June, 2017

Rob Bastin

This week is a particularly quiet one for the eco-stats calendar and as such the markets are likely to be relatively stable with just a few key speeches to watch out for. Yesterday’s trading provided no data releases at all and therefore Sterling traded within a small 0.5% range finishing the day the same or slightly lower against most major currencies. It is a telling sign of the negative backdrop for the pound that last week’s surprise MPC vote has failed to carry any positivity through to the new week.

Brexit negotiations officially began yesterday in Brussels, 3 months after Article 50 was formerly triggered as UK Brexit Secretary David Davis looks to form a deal with his EU counterpart Michel Barnier over the next year or so with a deal intended to be put together by October 2018. The second round of talks is due in another 4 weeks’ time although details of discussions and any prospective deals may not be known for a number of months yet.

The day ahead is another quiet one for data with the main highlight being a speech from Mark Carney, governor of the Bank of England. Tomorrow we will have Public Sector Net Borrowing figures for the UK and the Queens speech which all but completes the calendar for the UK this week. With sentiment against Sterling at present, anyone waiting for an uplift in exchange rates could be waiting some time as downside risk remains strong. If you have an imminent currency requirement, contact you broker today on 0800 043 2623 to discuss your best options.