Pound Sterling (GBP)
The perceived value of the Pound has fallen recently, in line with emerging signs of the negative impacts of the EU Referendum decision.
In particular, Lloyds has made headlines by announcing hundreds of branch closures and thousands of job cuts, while Countrywide Plc (a lettings and estate agency company) has highlighted a stall in property transactions in the wake of the Referendum.
In terms of actual domestic data, nationwide housing prices on the month and year in July have risen in both fields, defying forecasts for a decline.
The last day of the week will bring the UK’s GfK consumer confidence result for July, which is expected to slide from -1 to -5, or potentially an even more damaging -8.
The Euro has been in high demand today, having been pushed up across the board against its peers by earlier unemployment rate results.
For Spain, the still-high unemployment rate has nonetheless dipped from 21% to 20%, while Germany has seen a larger-than-expected decline in the number of unemployed persons in July.
In addition to these supportive ecostats, the Eurozone business confidence printing for July has risen from 0.22 to 0.39.
The afternoon will bring further German data, in the form of July’s preliminary annual and monthly inflation rate stats. For both fields, gains are expected.
US Dollar (USD)
The US Dollar has been in low demand this morning, with recent developments from the Federal Reserve serving to increase uncertainty about the future of the Fed’s policy decisions.
Notably, the Fed has kept the US interest rate on hold for another month, with the continuing instability of global markets being cited as a reason for not taking any decisive action yet in 2016.
In spite of another month of dovishness, however, a number of economists have been forecasting that September’s Fed decision will result in a rate hike, one of two that is presumed for the current year.
In other news, the afternoon will bring the US’s initial and continuing jobless claims stats for mid-July, which are expected to rise.
Australian Dollar (AUD)
On Thursday the Australian Dollar has generally risen against its rivals, with a favourable shift in trading prices serving to bolster the value of the Australian currency considerably.
Specifically, export prices over the second quarter have risen by 1.4%, while in a similarly supportive development, costs for importing materials into the country have fallen over the same period by -1%.
Looking ahead to the last day of the week, Australia’s private sector credit results are due tomorrow morning; at present, estimates are for a rise from 0.4% to 0.49% on the month.
New Zealand Dollar (NZD)
The value of the ‘Kiwi’ has been mixed recently, with the currency edging slightly higher against some currencies while falling against others.
No real domestic data has emerged from the antipodean nation recently, leaving the New Zealand Dollar at the mercy of the shifting status of the ultimately more forceful US Dollar.
Tonight will see the announcement of the June building permits result, which previously printed at -0.9%.
Canadian Dollar (CAD)
In a continuing trend for the Canadian Dollar, the ‘Loonie’ has remained at the mercy of commodity prices, in particular the falling price of crude oil per barrel and continually fluctuating cost of gold per 100 ounces.
The week-long period of no data is set to come to a close tomorrow, when the Canadian GDP for May will be published; this previously came out at 0.1% on the month.