• D5951-BOI-CB-Daily-Blog

    Euro steady ahead of French election

    The euro has been reasonably steady against the dollar over the past few days,  having jumped above $1.0.7 at the start of the week,  and fairly stable too against sterling after losing ground immediately following the surprise UK election announcement on Tuesday There is scope for some volatility in the currency markets at the start of next week, given […]

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    Sterling holds on to gains

    Sterling is holding on to its latest gains as the UK parliament overwhelmingly approved the general election for June 8th, with the currency continuing to trade below 84p against the euro and at over $1.28 against the dollar. An EU Commission spokesperson says Brexit negotiations will start after the election, adding that negotiations were to start in June regardless of the election […]

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    Sterling strengthens as PM May calls election

    It was an eventful start to the week to say the least as UK PM May effectively called an election for June 8 (parliament is expected to approve the election in a vote today). Sterling strengthened notably on the  announcement, rising to well over $1.28 against the dollar and to around 83.5p against the the euro The reaction in the currency market seemed to be […]

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    US stocks start week on positive note

    Despite continuing geo-political tensions, mainly related to North Korea, equity markets in the US put in a solid performance yesterday with the main indices gaining almost 1%. It was relatively quiet on the currency markets, however, with the major exchange rates largely unchanged. The euro is trading close to $1.0650 against the dollar this morning and at just under 85p against sterling US […]

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    The ‘Trump effect’ in reverse

    It’s the ‘Trump effect’ in reverse this morning as far as markets are concerned, with the dollar and US bond yields both lower following comments by the man himself in an interview with the WSJ The US President said the dollar is ‘getting too strong’ and it is ‘hurting – it’s very hard to compete when you have a […]

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    ‘Risk off’ tone in markets

    The ‘risk off’ tone in markets continued yesterday. One of the beneficiaries in such an environment is the Japanese yen, which strengthened quite a bit (to well under Y110) against the dollar. Among the other main exchange rates, the euro was slightly firmer against the dollar at just over $1.06, while sterling gained some ground against the dollar (to almost $1.25) and the euro […]

  • D5951-BOI-CB-Daily-Blog

    Main exchange rates steady

    The main exchange rates were largely unchanged yesterday, with the euro continuing to hover just below $1.06 against the dollar and just above 85p against sterling. The latter did regain a little ground against the dollar to trade back above $1.24 Equity markets were a touch lower and yields in core bond markets edged down. This has continued overnight […]

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    Dollar rises to 1-month high versus euro

    The dollar rose following Friday’s labour market report in the US, strengthening to a 1-month high of under $1.06 against the euro and to below $1.24 against sterling. US bond yields also rose, ending the day about 5bps higher (at 2.38%) in the case of 10-year bonds As it happened, the increase in employment in the US in March was a […]

  • D5951-BOI-CB-Daily-Blog

    Oil prices up after US missile strike

    Oil prices are higher after the US missile strike on Syria overnight. Brent crude briefly rose above $56 a barrel before slipping back and is now up about a dollar at $55.5. US yields also fell, with 10-year yields trading down to 2.30% at one stage before settling at around 2.32% The yen has gained some ground following the attack, strengthening a bit against […]

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    UK services PMI rebounds in March

    The UK services PMI rebounded in March, having falling in both January and February,  though Markit, who compile the index, said this ‘fails to change the picture of an economy that slowed in the first quarter’, adding that the slowing is evident in ‘consumer-oriented sectors linked to spending and incomes being squeezed by higher prices’ The euro […]