Marketwatch EU & UK

Daily Insights
October 24, 2023

  • The US dollar is weaker against its major peers along with UST Yields, declining to its weakest in two weeks after investors started to short-cover themselves ahead of US Economic data this week. US Prelim PMI numbers are due to signal further slowdown of the economy, which should trigger further decline of the currency. Demand for the greenback also faded with Israel holding back a ground invasion in Gaza.

  • Quiet on the euro front, although we’re 0.17% higher this morning on positive news out of Israel yesterday. We strongly broke the bearish channel near 1.06, and we are currently aiming at 1.07. PMIs this morning will be important to dictate the euro trajectory.

  • In the UK, the jobs data released this morning are unlikely to change any previous thoughts of the BOE. Unemployment rate in the three months to August held steady and the overall picture remains one of a cooling labour market. The central bank focus could now shift to CPI numbers and evaluate any progress made on price pressures and, not so much on jobs data. The BOE is set to hold interest rates at 5.25%. at its Nov. 2 meeting.
  • Cable is higher this morning, heading to its first key resistance around the 1.23 level. EUR/GBP has made a decent pullback the past 2 days as it tries to consolidate around 0.87.

Economic Calendar

12:30am:
JPY - Flash Manufacturing PMI
5:00am:
JPY - BOJ Core CPI y/y
6:00am:
EUR - German GfK Consumer Climate
6:00am:
GBP - Claimant Count Change
6:00am:
GBP - Unemployment Rate
7:15am:
EUR - French Flash Manufacturing PMI
7:15am:
EUR - French Flash Services PMI
7:30am:
EUR - German Flash Manufacturing PMI
7:30am:
EUR - German Flash Services PMI
8:00am:
AUD - RBA Gov Bullock Speaks
8:00am:
EUR - Flash Manufacturing PMI
8:00am:
EUR - Flash Services PMI
8:30am:
GBP - Flash Manufacturing PMI
8:30am:
GBP - Flash Services PMI
10:00am:
GBP - CBI Industrial Order Expectations
12:30pm:
CAD - NHPI m/m
12:30pm:
EUR - ECB President Lagarde Speaks
1:45pm:
USD - Flash Manufacturing PMI
1:45pm:
USD - Flash Services PMI
2:00pm:
USD - Richmond Manufacturing Index

Market Indicators

Currency Pairs
Pair High Low
eur/gbp 0.87117 0.87015
gbp/usd 1.22739 1.22469
gbp/aud 1.93337 1.92792
gbp/nzd 2.09639 2.09194
usd/jpy 149.787 149.496
eur/usd 1.06871 1.06667
gbp/jpy 183.691 183.261
eur/cnh 7.8084 7.7915
usd/cnh 7.31466 7.2979
Equities and Commodities
Nasdaq 100 14692
DOW 33020.9
S&P 500 4233.99
BRENT CRUDE 90.14
WTI 85.72
GOLD 1976.74

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 Francisco Mioludo

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Francisco Mioludo is a trader for GPS Capital Markets at the London office. Before joining GPS, Francisco worked in Market Risk at a commodity trading firm in London where he gained valuable skills for his current role. Francisco looks after our EU and UK sales team with everything from analysis to structuring and pricing.