Daily Update - 9th March 2017
Yesterday’s Market Yesterday’s explained The UK Finance Minister Philip Hammond presented his annual budget statement for the 2017-18 fiscal year on Wednesday. According to the latest projections, the British economy is likely to expand 2% in 2017, compared to a previous estimate of 1.4%. There are two reasons for this small reaction in GBP to the Budget: firstly, the pound was knocked by a strong ADP report for February, which boosted the US dollar. Spread-sheet Phil, couldn’t compete with a whopping ADP report, 298k jobs were created in the US’s private sector in Feb, and expectations were for a 187k increase. This is the strongest reading since 2014, and, if followed by a strong NFP report on Friday, will almost guarantee a rate hike from the Fed next week. In contrast, the Chancellor has all but made a rate hike from the BOE impossible by maintaining a tight fiscal stance for the rest of this Parliament. Today’s Market Today’s Focus ECB will be releasing its interest rate and deposit rate decision, and also will be releasing its monetary policy report after having the speech in Press conference in Frankfurt, Germany. Eyes are on ECB reports which will be released today, since EUR is consistently dropping for the last one week because of several negatives reports and data, today people are expecting much from ECB’s side and Non-Farm Payroll is the event that can make or break USD’s competing currencies, but according to the US survey it is most likely that the USD will hold its trading position yet again. Today’s Market Today’s Focus ECB will be releasing its interest rate and deposit rate decision, and also will be releasing its monetary policy report after having the speech in Press conference in Frankfurt, Germany. Eyes are on ECB reports which will be released today, since EUR is consistently dropping for the last one week because of several negatives reports and data, today people are expecting much from ECB’s side and Non-Farm Payroll is the event that can make or break USD’s competing currencies, but according to the US survey it is most likely that the USD will hold its trading position yet again.
