What a week

Last week was a particular busy week as we saw the dust begin to settle following the announcement Britain would be leaving the E.U. As a result, unsurprisingly we have seen the pound suffer, slowly losing ground across the board. This was not helped on Thursday following Mark Carney, Bank of England Governor announcing further monetary easing, which will likely mean an interest rate cut in the UK sometime over the Summer. This did not help the already struggling uncertain pound and only saw its losses increased, bad news for any of those holding out for a possible recovery in the short-term.

This week is a particularly busy week ahead with a number of key releases from around the world so no doubt we will see a large degree of movement in the rates. Given the current unstable pound following the Brexit, and the ongoing political instability we will see over the coming months it is extremely likely that the pounds woes will continue. As we still have to see Cameron officially step-down, the Tory leadership battle play out and then the much debated article 50 invoked this is only the start of a long and bumpy road. Any of you with requirements for currency on the horizon would be well advised to speak to your Currency Index Broker today for some friendly guidance on how to avoid the potential risks involved with a falling market.

If you haven’t already given consideration to a forward contract, which allows to fix the current rate using a small deposit you may also like to. Whilst many are surprised with the fact that we only saw a 4/5% initial drop in rates when a much bigger one was predicted, this may still the case and at present we are likely only beginning to see the start of the rot in rates as uncertainty breeds and we begin to see Britain start the slow process of Brexit.

Mon
08.30 GBP PMI construction
09.00 EUR PPI index
13.30 CAD RBC manufacturing PMI and BoC outlook survey

Tue
04.30 AUD RBA rate statement and Interest rate decision
08.30 EUR Markit services PMI
08.30 GBP Markit services PMI
09.00 EUR Retail Sales
09.30 GBP Financial stability report
14.00 USD Factory Orders

Wed
07.00 EUR President Draghi Speech & non-monetary policy meeting
12.15 USD ADP employment change & trade balance
18.00 USD FOMC minutes

Thu
00.30 JPY Governor Kuroda Speech
07.15 CHF Inflation data
07.30 GBP Halifax house prices & Industrial and manufacturing production
11.30 ECB Monetary policy meeting accounts
14.00 CAD Ivey Purchasing managers Index

Fri
06.00 EUR German trade balance data
12.30 USD Unemployment data & non-farm payrolls.