Sterling remains bullish in face of struggling US Dollar

16 September, 2013

Simon Eastman

Last week saw the pound continue its bullish stance across the board, making further gains against all the major pairings. The fact there was little data to trade off seemed to not matter as various releases from Europe and the States gave investors enough to go on to keep their confidence in the British pound, allowing fresh highs of 5 months against the euro and US dollar.
The markets have started the week already and the pound is still fairing well, with little sign of the expected correction analysts were predicting following the sudden increase in sterling’s value. This week we have some key data releases for the UK so could there be a spanner in the works to come?

The releases of note across the world this week are as follows:

Monday – ECB president Mario Draghi gives speech, EU inflation CPI and US industrial production

Tuesday – Australian RBA minutes, UK inflation CPI & RPI figures plus retail sales. EU trade balance and ZEQ economic sentiment survey. US inflation CPI figures.

Wednesday – Bank of England minutes, Bank of Canada key member speech, US FED interest rate decision and monetary policy statement. New Zealand GDP

Thursday – Swiss SNB interest rate decision, UK retail sales. US jobless claims and house sales figures

Friday – UK public sector net borrowing. Canadian inflation CPI figures. EU consumer confidence and US FED key member speech

As you can see there are plenty of key data releases this week, all of the above have the ability to move the market confidence away from sterling so if you have a currency transfer to make overseas whether for business or for that new property in the sun, don’t miss the opportunity to trade at these opportune levels and speak to one of our brokers today.