Sterling begins the day weaker than the euro and US dollar, by approximately 0.25% and 0.06%, compared to this time last week.
Markets will look to the eurozone and United Kingdom for the latest purchasing managers data which will be released over the course of this week. We’ll see indexes from France, Germany and the eurozone on Tuesday.
Following the prime minister’s meeting with Stormont leaders in Belfast on Friday, ex-prime minister, Boris Johnson warned Rishi Sunak that it would be a “great mistake” to drop the Northern Ireland protocol. This comes after speculation of a deal between the UK and the EU being close.
Further strikes among the UK’s healthcare workers have been announced. The strikes, announced by the Royal College of Nursing and ambulance workers, are set to take place on Wednesday 15th March.
Euro-watchers will be keeping a close eye on Germany this week, as in addition to PMI, inflation and GDP are scheduled to be released.
In European stock markets, investors saw a higher open at the start of the business day as risk sentiment improved. However, investors remain cautious following subdued trading volumes caused by a US holiday (and the prospect of a Hawkish Fed).
Market watchers are also expecting lots of interesting data from Canada, such as inflation and retail sales. In the US, PMI will also be released.
China’s stocks rebounded sharply this morning, recovering from one-month lows as investors grew optimistic about the country’s economic recovery. The Shanghai Composite jumped 2.06% to 3,290 while the Shenzhen Component gained 2.03% to 11,954.
There will be several speeches from members of the US Federal Reserve bank over the coming days where officials will speak on inflation and the bank’s monetary policy. Dollar-watchers will be listening closely for any comments which could impact the US dollar.
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