Marketwatch EU & UK

Daily Insights
February 19, 2024

  • flag united states 1f1fa 1f1f8Friday’s US PPI data for January came in higher than expected in all categories and followed an above consensus CPI report suggesting that inflation in the world’s largest economy is once again heating up. The data confirms that a March cut from the Fed is now completely off the table. We start the week with the US dollar in a holding pattern with thin markets due to the US Presidents Day holiday, as EURUSD consolidates below 1.08 and GBPUSD rises a touch above 1.26.
  • flag european union 1f1ea 1f1faLater this week we look forward to the release of the minutes of the ECB’s January policy meeting, with investors likely to be scouring the details looking for clues on when the central bank will be able to cut rates. The minutes are out on Thursday, the same day as the release of the Euro area flash composite PMI survey. Euro area final CPI is also due out on Thursday, with the final reading likely to show the headline rate for January falling to 2.8% from 2.9% in January. Data in the coming days will likely point to the first cut from the ECB coming at the June policy meeting.
  • flag united states 1f1fa 1f1f8It is a fairly quiet week for US data, with little on the docket until the release of the January FOMC meeting minutes on Wednesday, with investors hoping for some insight into when the Fed will be able to deliver its first interest rate reduction. Thursday sees the release of the weekly initial claims report ahead of existing homes sales which are due to be published on Friday.

Economic Calendar

GBP - Rightmove HPI m/m
CNY - Foreign Direct Investment ytd/y
EUR - German Buba Monthly Report
CAD - Bank Holiday
USD - Bank Holiday
CAD - IPPI m/m
CAD - RMPI m/m

Market Indicators

Currency Pairs
Pair High Low
eur/gbp 0.85525 0.85247
gbp/usd 1.26268 1.2595
gbp/aud 1.93053 1.92546
gbp/nzd 2.05816 2.05318
usd/jpy 150.189 149.871
eur/usd 1.0789 1.07577
gbp/jpy 189.356 188.918
eur/cnh 7.776 7.7623
usd/cnh 7.21391 7.20152
Equities and Commodities
Nasdaq 100 17725.7
DOW 38651.8
S&P 500 5012.54
WTI 77.85
GOLD 2021.38

This document is for information purposes only and does not constitute any recommendation or solicitation to any person to enter into any transaction or adopt any trading strategy, nor does it constitute any prediction of likely future movements in exchange rates or prices or any representation that any such future movements will not exceed those shown on any illustration. All exchange rates and figures appearing are for illustrative purposes only. You are advised to make your own independent judgment with respect to any matter contained herein.

About Simon Walker


Simon Walker is head of the GPS Capital Markets trade desk in our London office where he is responsible for covering market risk in European hours. He has over 25 years’ experience in foreign exchange, working in both sales and trading.