Dollar has weakened overnight against the euro and the pound as speculators eye weather reports. Hurricane Dolly is forecast to be this year’s hurricane season’s first major event and although it is likely to miss the major offshore platforms some damage may be done to coastal areas later on in the week. As a result Oil jumped higher by just over $2 per barrel.

Earnings figures are tending to dominate the horizon at the moment given the dearth of tier 1 economic data; Washington Mutual and Wachovia are due to announce today. Earnings season has so far shown that banking sector analysts are a miserable and pessimistic bunch; Bank of America climbed 6% yesterday as it reported an EPS of 75 cents against expectations of 48 cents and sentiment has once again swung to a belief that the worst of the crunch may be over.

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 Please feel free to contact me (jeremy.cook@worldfirst.com) if you have any questions or thoughts regarding these updates or if you are interested in a particular event in the calendar. If you would like to discuss your foreign exchange requirements, please contact our:Corporate Foreign Exchange Team on 020 7801 9050 or our Private Client Currency Exchange Team on 020 7801 9080.   

Disclaimer: 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 author’s own judgement as of the date of the briefing and are subject to change without notice.Any rates given are “interbank” i.e. for amounts of £5million and thus are not indicative of rates offered by World First for smaller amounts. E&OE. Definitions of jargon/market terms can be found in our Glossary of Foreign Exchange Terms.