MNI BRIEF: German Insolvencies Slowed In June, Outlook Uncertain - IWH

MNI: PBOC Conducts CNY2 Bln Via OMO Tues; Liquidity Unchanged

CHINA PBOC CONDUCTS CNY2 BILLION VIA 7-DAY REVERSE REPOS TUES

MNI BOK WATCH: Slowing Inflation Puts Q4 Cut In Sight

MNI: PBOC Sets Yuan Parity Higher At 7.1310 Tues; -0.50% Y/Y

CHINA SETS YUAN CENTRAL PARITY AT 7.1310 TUES VS 7.1286

Asia Sov Curves Bull-Steepen, Indon To Reduce Bond Issuance

MNI: UK BRC JUN BY VALUE SHOP SALES LFL -0.5% YY, TOTAL -0.2% YY

BRC-KPMG Retail Sales Fell For The First Time (ex Easter Anomaly) Since Jun-22

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

BOE Vlieghe Comments Keep GBP Buoyed

GBP
MNI (London)
  • Reversal of fortunes for GBP Thursday on BOE MPC Vlieghe hawkish comments (seen as a stand out dove). Vlieghe said it would probably take until Q1 next year to have a clear view of post-furlough and wage dynamics, adding that a rise in Bank rate could be appropriate soon after.
  • GBP/USD's recovery away from its earlier Thursday low of $1.4092 lifted post comments, and into the NY session, to $1.4219 before momentum faded, the rate settling on $1.4200 into the close.
  • The corrective pullback continued at a mild pace in Asia, GBP/USD easing to $1.4182 with the $1.4200 level providing a cap into Europe.
  • EUR/GBP has moved back below its key 10-dma (current Gbp0.8614) and seen providing a supporting feel for GBP.
  • Resistance $1.4200, $1.4220 ahead of $1.4234/37 then $1.4250.
  • Support $1.4180, $1.4155/40 ahead of $1.4120.
  • Month-end approaches (UK and US on holiday Monday) so could see some position adjustments into the long weekend, with increased fix interest possible (there will be a fix on Monday).
  • A light event calendar in the UK Friday. Focus on EZ Confidence data 0900GMT. US Core PCE, Personal income/spending 1230GMT, Chicago PMI 1345GMT, UofM 1400GMT.
  • MNI Techs: GBPUSD bounced well Thursday, reversing weakness seen earlier in week. Outlook remains bullish and sights are on 1.4237, Feb 24 high and the key bull trigger. Break would reinforce a bullish case and importantly confirm a resumption of the broader uptrend that started March 2020. On the downside, initial firm support unchanged at 1.4006, May 13 low where a break would suggest scope for a deeper corrective pullback.
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com
BulletMarketsForeign Exchange BulletsHomepage
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com
BulletMarketsForeign Exchange BulletsHomepage

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.