Good morning, please see today’s entry to our Daily FX Market Commentary.
The US wasn’t enjoying a public holiday yesterday, so did produce some data that moved the market a little. Personal spending and consumer expenditure both missed their forecast figures.
The recent trend for the GBPUSD then continued. We saw the GBP produce a highest rate of 1.4420 during the last 24 hours and seems to have consolidated above the 1.4300 mark with some comfort now.
Still the potential “Brexit” will weigh on the strength of the Pound vs the Dollar so gains may very well be capped in the medium term.
The EUR had nothing to report during the public holiday period, but today produces some figures that look at confidence in business and from a consumer stand point. Almost all are due to remain the same or slightly improve, which may buoy the Euro.
Yesterday saw fairly erratic movements and the GBP is struggling to hold onto a rate above 1.2700. This could be more difficult if the German GDP figure arrives as forecast at + 0.2% from the last reading.
Similar to the EUR, the UK produced nil data during the Easter break. The only thing in the calendar today is a consumer confidence figure, forecast for a slight decline.
Overall, I think we could see a slight easing of the GBPUSD upwards trend of late and the Pound could struggle against the Euro