17 Jun 2014
CPI figures would support GBP and USD – Danske Bank
FXStreet (Edinburgh) - According to Allan von Mehren, Chief Analyst at Danske Bank, both the GBP and the USD would be supported by today’s inflation figures in the UK and US economies.
Key Quotes
“Today’s UK and US inflation figures have the potential to support both GBP and USD relative to EUR if the numbers surprise on the upside”.
“However, the market will probably be in wait-and-see mode ahead of the FOMC meeting and not least the minutes from the latest Bank of England meeting on 4-5 June meeting”.
“Recent comments from BoE Governor Mark Carney suggest that the central bank might consider raising rates this year and the minutes tomorrow will be scrutinised for indications that the balance of the board is tipping towards a rate hike. If so, this will weigh further on EUR/GBP”.
Key Quotes
“Today’s UK and US inflation figures have the potential to support both GBP and USD relative to EUR if the numbers surprise on the upside”.
“However, the market will probably be in wait-and-see mode ahead of the FOMC meeting and not least the minutes from the latest Bank of England meeting on 4-5 June meeting”.
“Recent comments from BoE Governor Mark Carney suggest that the central bank might consider raising rates this year and the minutes tomorrow will be scrutinised for indications that the balance of the board is tipping towards a rate hike. If so, this will weigh further on EUR/GBP”.