04/ 06/ 2017

Week Ahead I UK general election 2017: What does it mean for the pound?

The spotlight was on the U.S. Dollar again last week and the greenback did not disappoint, falling to a 7-month low against a basket of currencies. The U.S. Dollar was unpinned early in the week, driven by short-covering and position-squaring as investors reacted to oversold technical conditions and to expectations for a solid jobs report later in the week. Also helping to give the dollar a firm tone was a pair of economic reports. U.S. consumer spending recorded its biggest increase in four months in April and monthly inflation rebounded, pointing to firming domestic demand early in the second quarter.

The major report for this week will be on the ECB’s critical decision and the UK elections that is due on Thursday and Friday. 

01/ 06/ 2017

Dollar slumps on political tension

Euro rose against the dollar on Wednesday as the dollar was weighed down on growing political tension in Washington. President Donald Trump’s administration has been the focus of independent investigation by the federal bureau of investigation and several congressional panels over alleged Russian meddling in the 2016 presidential election and potential collusion by the trump campaign.

It will be busy day for the foreign currency Market today since major data will be released Markit Manufacturing from Europe, GDP from Italy and reports coming from US Initial Jobless Claims, Markit Manufacturing, ISM Manufacturing & Construction Spending. 

31/ 05/ 2017

Dollar Weakens ahead of Non-Farm Payrolls

Euro rose against the dollar on Tuesday as the greenback was weighed down by a drop in U.S. Treasury yields amid a cautious global sentiment with political worries in Europe and weaker stock and commodity markets after a long U.S. holiday weekend.

Sterling also strengthened against the dollar on Tuesday as investors shrugged off opinion polls showing British Prime Minister Theresa May's lead over the labor opposition narrowing less than a week before the general election.

Today’s Focus will be on Consumer Data from Euro zone, Consumer credit & Mortgage approvals from UK and Housing Data from USA.

30/ 05/ 2017

Greece oh Greece

And just when you thought nothing can go wrong with the Eurozone now, we have Greece issue back in the limelight.  A German newspaper reported that Greece is threatening to opt out of next payment without a debt deal if creditors cannot agree on debt relief at the next European council meeting.

Draghi also sounded dovish at yesterday’s speech where he said there’s need for further money support in the region. Euro suffered a setback due to these incidents and dropped to EUR/AED 4.08.

Today we have reports coming from Euro Zone and USA related to economic confidence and personal income.