Following Friday’s advances, sterling strides into a new week over 0.6% higher than this time last Monday against the euro and a whopping 1.34% against the US dollar.
The pound is currently the top-performing G10 currency of 2024 due to minor pullbacks for the US dollar as expectations continue to rise for a September interest rate cut at the Federal Reserve.
On Friday, we heard the UK economy expanded 0.4% in June, doubling market expectations.
On Saturday, there was an assassination attempt on Donald Trump at a presidential campaign rally. The former president was evacuated safely; however, one civilian was killed and another two critically injured.
President Biden called on Americans to “lower the temperature in our politics” following the attack.
This morning in Asia, Bitcoin surged above $62,000 close to a two-week high as investors speculated about the chances of Trump winning the November election. Trump’s support surged following the failed assassination attempt.
Property website Rightmove reported that the number of agreed UK house sales over the past month was up 15% on this time last year. Rightmove said this stat was “encouraging” and suggested homebuyers likely shrugged off the “distractions” of the Euros 2024 and the general election.
In terms of economic releases, here’s what to look out for this week…
There are several speeches this week by Fed officials, including chair, Jerome Powell this evening which is highly anticipated.
US releases will include retail sales, industrial production, import and export prices, building permits and housing starts.
In the UK, this week holds June’s inflation rate, unemployment figures, GfK consumer confidence and retail sales.
Euro investors will have their eyes on Germany’s ZEW economic sentiment tomorrow and the European Central Bank on Thursday for an interest rate decision, press conference and following speech from president, Lagarde. More on that below.
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