Quiet week for UK Ecostats – will the Euro continue to gain?

It is a quiet week in the way of data, particularly from the UK, so will the Euro continue to gain against the weakening Pound? Last week saw the Euro claw back some of the lost ground against the Pound – better than expected German and Spanish employment data combined with a poor Uk production reading, and a result saw rates drop by around a cent off the best they have been since May last year. Against the USD the Pound also lost around a cent, although despite this rates remain the best have been in over 18 months. The strong Euro has also continued to keep the very weak dollar subdued at the lowest levels against the single currency in over 3 years.

Will the Euro continue to gain after Mario Draghi’s speech?

This week will be a tough ride for the Pound as the focus lies largely with the Euro and elsewhere in the world. Today’s focus is largely on the single currency with retail sales and a speech by Mario Draghi at 4pm. The only release of any note for the Pound comes on Thursday as we see the monthly round of Bank of England data released, although with inflation still jumpy it is perhaps unlikely Carney will focus on another rate hike just yet. As such the Pound is vulnerable this week, amidst little data and particularly given the currently strong Euro. Given we are close to the bottom of the range we have seen rates operate in since September, those of you reading this may like to consider this, as if this current level breaks, we could see rates tumble another few cents.

Elsewhere in the world we have big data releases from Australia, New Zealand, and Canada. On Tuesday we have the RBA interest rate decision, and New Zealand unemployment data. Wirth further data from Australia on Thursday and Friday, alongside Canadian unemployment ion Friday.

So those of you reading this  requirements to send money to Australia, New Zealand or Canada may like to stay in close touch with your Currency Index account manager.

Mon

09.00     EUR        Markit services data

10.00     EUR        Retail Sales

16.00     EUR        ECB President Draghi Speech

Tue

03.30     AUD       RBA Interest rate decision & Statement

21.45     NZD       Unemployment data

Wed

08.00     EUR        Non-monetary policy statement and interest rate decision

20.00     NZD       RBNZ statement and interest rate decision

Thu

09.00     AUD       RBA Governor Phillip Lowe speech

12.00     GBP       BoE Interest rate decision, Monetary policy statement, MPC vote and BoE minutes

Fri

00.30     AUD       RBA monetary policy statement

13.30     CAD       Unemployment rate

Check our news site for regular updates as we find out will the Euro continue to gain ground on the Pound?