Middle East Conflict Disrupts the Markets.
EUR/Euro: The Euro has held recent gains with currencies settling into Tuesday’s trade after a busy start to the week as markets look to decipher the implications of a protracted conflict evolving in Israel and Palestine.
GBP/Sterling: The British Pound has been making upside progress against the US Dollar and Euro. With regards to GBP/USD, the past 3 trading sessions have produced a gain of about 0.9%. This is marking the best 3-day performance since the middle of July. Recent gains have brought Sterling to the edge of the 20-day Moving Average on the daily chart below.
USD/Dollar: The British Pound opened lower this Monday morning as conflict in the Middle East saw global markets adopt a risk off approach. Naturally, the US dollar received support being a safe haven currency in addition to Friday’s Non-Farm Payroll (NFP) report which beat forecasts highlighting a very robust labor market within the US. That being said, money market expectations for a November interest rate hike from the Fed was little changed and with US CPI scheduled later this week, only a significant upside surprise may shift the needle.
Economic Calendar
Expected | Previous | ||
---|---|---|---|
00:01 GBP | BRC Retail Sales Monitor YoY | 4.3 | |
13:00 EUR | ECB Lagarde Speech | ||
14:30 USD | Fed Bostic Speech | ||
15:00 USD | Wholesale Inventories MoM | -0.1% | -0.2% |