Morning all
Halfway through February! Will finish with GBP today…
EUR
The reason being is that we are going to see both EUR & USD really struggle against the Pound. About time! GBPEUR has been stuck in a rut of late however with soft EUR data last week and subdued predictions from the European Central bank we are going to see GBPEUR rally. In short if you have any EUR’s to sell I suggest offloading your risk sooner rather than later. Contrary to that if you are buying; hold off whilst the rally continues this week.
USD
Excellent wage data, inflation on the down, however remaining above the key 1.20 figure. Why?….
GBP
Finally Sterling is starting to reflect its true value and data rather than tabloid sentiment is taking president. UK wage data came out better than expected with its fastest pace outside of the Covid pandemic period at 6.7% in the year to December. The Bank of England said it would monitor wage dynamics closely when deciding whether to raise interest rates again in March, judging that strong wage growth to be consistent with high inflation. A great start to the year.
Have a good day all; here to help if required