Tag Archives: Marketinsight

Today’s focus is on a mix of key US economic data, set to influence market movements.
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Money News Overview Monday 10th October 2023: Dovish remarks from US Federal Reserve officials

On the currency front, the pound has continued to tumble against the dollar, but there are hopes that it will resume its march against both the dollar and the euro in the coming months.

With PPI and CPI being released in the US, Europe, and the UK tomorrow. Another significant discussion point markets will be the UK’s GBP statistics on Thursday, which are predicted to rise to 0.2% from -0.5% MoM.



Looking ahead today. The Labour Party’s leader, Keir Starmer, will address at the party’s annual convention later today. In terms of priorities, he is set to repeat the comments made by the Shadow Chancellor yesterday, arguing that if Labour forms the next government, it will be financially conservative

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A number of Federal Reserve policymakers from the United States are expected to speak. Markets will be looking for reactions to recent developments as well as hints that a US interest rate hike is on the agenda for November.

Markets Fragile Ahead of Easter as Pound Hits Low Against Euro
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Money News Overview Friday 6th October 2023: Awaiting US payroll data

For the most part, financial markets were relatively quiet yesterday. The quiet data schedule on both sides of the Atlantic played a role.

Indeed, the only noteworthy news was the monthly US jobless claims statistics. At the same time, the release of the all-important September US non-farm payrolls report loomed on the market horizon.

Today’s focus is on the US macro diary, with the major point of interest being the September payrolls data.

The consensus estimate is for a 170,000 increase. September unemployment and average wages data for the United States are also due. A stronger-than-expected payroll data might see the dollar restart its rise, which has been stopped over the last two days.

Pound Lags as Tariff Fears Return Despite UK GDP Surprise
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Money News Overview Thursday 5th October 2023: The dollar gives up some of its recent gains.

Yesterday, the UK PMI services data came in higher than predicted at 49.3 (vs. 47.2). Meanwhile, the Pound climbed versus the Euro and the Dollar, but has subsequently plummeted this morning.
The UK PMI construction data are expected to decline for the third consecutive month to 49.9 – if the report falls below 50, it indicates a contraction within the sector, potentially weighing on the Pound.
Today, there is a pretty light data schedule. The main release of note in the United States is initial jobless claims. Meanwhile, comments from a number of central bank officials may be of interest.
However, markets may choose to keep the assets they hold dry ahead of the reporting of September non-farm payrolls in the United States tomorrow.

Market Update: Pound Gains as Key Economic Events Approach
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Money News Overview Wednesday 4th October 2023: PM Sunak will address the Conservative Party conference today.

Following the release of a significant upgrade to the UK’s PMIs for September, there was a little, though noticeable, increase in the value of the Pound relative to the Euro and the Dollar, which signals the economy did better than previously believed.

The S&P Global Services PMI for September was revised upward to 49.3 from 47.2 in the preliminary estimate, suggesting that the economy avoided a significant decline and instead remained stable from its reading of 49.5 in August.

The public release of the initial estimate indicated a sharp slowdown, which was later attributed to an extension of the Pound’s multi-week slide at the time. Therefore, Wednesday’s positive surprise can be viewed as supportive of the currency.

Markets are still unsure if the Fed will raise interest rates again, and recent statements from Fed policymakers imply that the rate-setting committee is split on whether to act. Today’s talks are likely to highlight those contrasts, as Bowman will likely favour a walk while Goolsbee would warn against it. Sunak will speak at the Conservative Party conference today.

Market Update: Quiet Markets as Focus Shifts to PMI Releases
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Money News Overview Tuesday 3rd October 2023: GBP’s tide is changing

The British Pound is projected to struggle versus the Euro in October as the fallout from a difficult September persists, but weakness will be limited given that the Eurozone and UK economies are unlikely to change direction.

The Euro and Dollar have both fallen heavily against the Dollar in the August-September period, due to ongoing US economic outperformance, leaving both at jeopardy of extending their losses against the Dollar and underlining the relevance of the matter of economic divergence for the FX market.

The US manufacturing ISM remained in contraction mode in September, but it printed ahead of expectations. It increased to 49.0 (vs. 47.8 forecast) its highest level since November of last year. In the meantime, the Eurozone unemployment rate fell to 6.4% in August.

On the currency front, the dollar was firmly in the lead. The mediocre tone in risk appetite and the Fed’s hawkish rhetoric strengthened the greenback.

Today’s major release will be August job vacancies statistics in the United States. The number of open positions is expected to fall slightly. Lane’s comments as ECB Chief Economist will also be of interest.

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