FREELAND: CANADA WON'T ESCALATE OR BACK DOWN ON US TRADE FIGHT

MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI BRIEF: China Nov M1 Decline Narrows, M2 Slows

EZ/UK T-Bill Calendar: 8/13/28/50-Week BTF Auction on Monday

EZ/UK Bond Supply Calendar: 4.125% Jul-29 Gilt Due on Tuesday

MNI: CANADA OCT WHOLESALE SALES +3.3%; EX-AUTOS +0.5%

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

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

GBP Boosted by BoE's Sticky Inflation Issue

FOREX
  • GBP trades to the top-end in G10, rising against all others on an above-expected March inflation release. While headline inflation slowed from the February print, Y/Y CPI remaining in double digits and core CPI holding above forecast poses further problems for the Bank of England, prompting a number of sell-side analysts to add 25bps to their MPC hike cycle.
  • GBP/USD's post-data rally put the pair at 1.2472 before fading slightly, keeping the Friday high of 1.2546 out of reach for now as the bull trigger.
  • USD/JPY traded through the overnight highs alongside the European open to trade just below the Y135.00 handle. A modest wave of USD strength accompanied a return higher for US Tsy yields, as the 10y touched 3.62% - a new April high - alongside tighter implied Fed pricing.
  • The ECB speaking slate is busy Wednesday, with appearances from Lane, Knot, de Cos and Schnabel all on the docket. Markets remain split between a 25 and 50bps hike at the ECB's next meeting - with final March CPI data doing little to sway markets in either direction (inline with prelim at 6.9%).
  • The Fed Beige Book release rounds off central bank comms, scheduled at 1900BST/1400ET. Earnings remain a focus, with Wednesday highlights including US Bancorp, Morgan Stanley, Tesla and IBM.
Energy BulletsCommodities
Energy BulletsCommodities

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.