Today the focus is on Euro bloc stimulus, jobless claims in the US, and London losing grip.
Canadian Core Retail Sales (MoM) for Jan. will be released. Forecast: -2.6%. If higher than predicted the CAD could receive a positive push.
Assets to trade: USD/CAD, CAD/CHF, AUD/CAD
Securities settlement for Irish assets worth more than 100 billion euros ($119 billion) has left London for the European Union in the latest adjustment in markets to Brexit. Affects GBP
ECB President Christine Lagarde said on Thursday, the European Central Bank may need some time before the recently agreed acceleration in the pace of money printing, part of its efforts to cushion the fallout of the COVID-19 pandemic, becomes apparent. Affects EUR
A report by the U.N. Conference on Trade and Development (UNCTAD) said on Thursday, the global economy is set to grow by 4.7% this year thanks to a stronger-than-expected recovery in the United States, revising up its previous forecast of 4.3%. Affects S&P 500
The number of Americans filing new claims for unemployment benefits unexpectedly rose last week, but the labor market is regaining its footing as an acceleration in the pace of vaccinations leads to more businesses reopening. Affects USD
London’s ties with the eurozone were severed after Britain left the EU’s single market on Dec. 31 and the prospect of a pact has raised hopes in some quarters of at least a partial resumption of direct access to the continent’s financial markets. Affects GBP
The British economy has been rocked by the pandemic and Brexit, yet the Sterling continued to climb against other currencies. However, as the dust settles on the new financial landscape troubles are becoming more apparent as London loses European assets and struggles to regain access to the bloc’s market.
The pair has returned to its downtrend after a strong pullback.
Prices have reached new highs and could be due for a pullback before continuing upward as it has done in the past.
Prices have reached new highs and appear to be due for a pullback before continuing upward as it has done recently.