• This morning, the British pound is holding most of yesterday’s again after CPI and Core CPI both came in above expectations with PPI dropping less than expected. A UK rate hike has been on the horizon for some time, but yesterday’s data helped push this a little closer to the present.
• The euro has suffered a poor run of form this week as tensions mount around the Greek deal. There is better news this morning for the single currency though as the EUR/USD and especially EUR/JPY rise. The EUR/GBP is also enjoying gains after a negative session yesterday.
• After a brief hint of a rally yesterday, oil prices remain stuck below $50 a barrel.
• The general funk in commodity prices continues to suppress the Australian dollar with the AUD/JPY off again this morning.
Coming up today:
• Coming up today, we have US inflation data at 13.30, followed by the release of the minutes from the last FOMC meeting at 19.00.
Trade Idea:
• The EUR/GBP is attempting to regain some of yesterday’s losses, but there is no getting away from the fact that the euro and British pound are on completely different interest rate trajectories.
• As such, we could well see further downside for the pair in the coming month.
Disclaimer: This financial market report is intended for educational and information purposes only. It should not be construed as investment or financial advice and you should not rely on any of its content to make or refrain from making any investment decisions. The views expressed in this report are those of the author and do not necessarily reflect the views or position of Binary.com accepts no liability whatsoever for any losses incurred by users in their trading. Binary options trading may incur losses as well as gains.
Pound Holds After Inflation Surprise
Morning Report: 07.00 London
• This morning, the British pound is holding most of yesterday’s again after CPI and Core CPI both came in above expectations with PPI dropping less than expected. A UK rate hike has been on the horizon for some time, but yesterday’s data helped push this a little closer to the present.
• The euro has suffered a poor run of form this week as tensions mount around the Greek deal. There is better news this morning for the single currency though as the EUR/USD and especially EUR/JPY rise. The EUR/GBP is also enjoying gains after a negative session yesterday.
• After a brief hint of a rally yesterday, oil prices remain stuck below $50 a barrel.
• The general funk in commodity prices continues to suppress the Australian dollar with the AUD/JPY off again this morning.
Coming up today:
• Coming up today, we have US inflation data at 13.30, followed by the release of the minutes from the last FOMC meeting at 19.00.
Trade Idea:
• The EUR/GBP is attempting to regain some of yesterday’s losses, but there is no getting away from the fact that the euro and British pound are on completely different interest rate trajectories.
• As such, we could well see further downside for the pair in the coming month.
A good way to play this is a LOWER trade predicting that the EUR/GBP will close below 0.7000 in 20 days time for a potential return of 174%.
Disclaimer: This financial market report is intended for educational and information purposes only. It should not be construed as investment or financial advice and you should not rely on any of its content to make or refrain from making any investment decisions. The views expressed in this report are those of the author and do not necessarily reflect the views or position of Binary.com accepts no liability whatsoever for any losses incurred by users in their trading. Binary options trading may incur losses as well as gains.
Summary:
Email [email protected] or skype me at bomaffiliates-karen
Related Posts: