Marketwatch EU & UK

Daily Insights
January 8, 2024

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  • Solid jobs data and a revised Services PMI report pushed the US dollar higher for a fifth day, with the data pointing to continued economic expansion. Friday’s Non-farm Payroll report came in at 216,000 for December, against consensus estimates of 175,000, with the unemployment rate dropping to 3.7% against the 3.8% forecast. The data followed better than expected continuing jobless claims and an ADP Private Payroll report which showed that US firms added more jobs in December that forecasted.

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  • It is a quiet week ahead for data across Europe, with tomorrow’s German Industrial report for November the only key event. The German economy remains weak; however, markets look for a slight uptick tomorrow, reflecting the improved business sentiment at that time before it deteriorated significantly again at the end of the year.

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  • Friday sees the release of the UK November GDP print, which will likely show a mild monthly gain, which unfortunately may not be enough to prevent a second straight drop in output in the final quarter of last year. A 0.1% drop is forecast, which is slightly more down beat that the BoE projection of zero growth.

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  • The highlight of the week will be Thursday’s CPI release from the US. Markets are forecasting a 0.2% gain in December, which will likely boost the annual pace a tad with core CPI inflation expected to prove sticky above the Fed’s 2% average target through 2024.

Economic Calendar

JPY - Bank Holiday
EUR - German Factory Orders m/m
EUR - German Trade Balance
CHF - CPI m/m
CHF - Retail Sales y/y
EUR - Sentix Investor Confidence
EUR - Retail Sales m/m
USD - FOMC Member Bostic Speaks
USD - Consumer Credit m/m
JPY - Tokyo Core CPI y/y
JPY - Household Spending y/y

Market Indicators

Currency Pairs
Pair High Low
eur/gbp 0.86134 0.8572
gbp/usd 1.27296 1.26972
gbp/aud 1.8984 1.88771
gbp/nzd 2.04075 2.0307
usd/jpy 144.92 144.09
eur/usd 1.09529 1.09306
gbp/jpy 184.218 183.236
eur/cnh 7.84895 7.8313
usd/cnh 7.17327 7.15288
Equities and Commodities
Nasdaq 100 16310.4
DOW 37380
S&P 500 4700.12
WTI 72.88
GOLD 2029.44

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.