The lack of data stifled markets yesterday with speculators waiting for meatier announcements to make plays through. Even so, yesterday’s US Leading Indicators came out stronger seeing a lift in dollar in the early afternoon.

This morning’s ZEW survey from Germany is the first such piece of meaty data this week and is expected to improve from the surprising decline seen in April’s release. Should we see unforeseen upside markets may take the view that the ECB will hold rates at their next meeting and an increase in euro strength is therefore likely; both against sterling and dollar.

There is once again no UK data due for release today with eyes focused on tomorrow’s Bank of England Minutes from the May meeting.

In other news, the meteoric appreciation of AUD continues as it passed 24 year highs against the dollar and held in and around 11 year highs against sterling. The minutes from the RBA’s meeting proved to be hawkish and further hikes are seen in the future.
Today’s Data
Germany: 07.00 PPI
Expected: 0.5%
Previous: 0.7%
Germany: 10.00 ZEW Economic
Sentiment
Expected: -32.0
Previous: -40.7
US: 13.30 PPI
Expected: 0.5%
Previous: 1.1%
Indicative Rates
Sell Buy
GBPEUR 1.2538 1.2566
GBPUSD 1.9546 1.9570
EURUSD 1.5570 1.5591
GBPJPY 202.04 204.13
GBPAUD 2.0330 2.0380
GBPNZD 2.5217 2.5292
GBPCAD 1.9305 1.9356
GBPZAR 14.86 14.90
USDZAR 7.60 7.63
GBPPLN 4.2439 4.2700
Rates are dependent on amount transacted
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Email: (jeremy.cook@worldfirst.com) Please feel free to contact me at anytime regarding these briefings, if you have any questions or thoughts on them, or if you are interested in a particular event in the calendar.Please call us on 0800 783 6022 / +44 20 7801 9080 if you would like to discuss the markets or fix a rate.

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The above comments are only our views and should not be construed as advice. You should act using your own information and judgement. Although information has been obtained from and is based upon multiple sources the author believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions and estimates constitute the authors own judgement as of the date of the briefing and are subject to change without notice.

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