GBPUSD

Daily Market Comment – Close call if BoE will cut today; Risk aversion revives

Posted on January 30, 2020 at 10:02 am GMT

All eyes on BoE meeting, markets view prospect of a rate cut as a coin toss On balance, decent PMIs give BoE breathing room to wait – if so, pound might spike higher Yen advances, stocks stumble as virus fears revive risk aversion Dollar ticks lower as Fed adopts a slightly more cautious tone, but quickly recovers BoE rate decision: To cut, or not to cut? The main event today will be the Bank of England’s (BoE) policy decision at [..]

Daily Market Comment – Fed to stand pat; risk appetite roller-coaster rolls on

Posted on January 29, 2020 at 1:29 pm GMT

Fed to stay on hold today, but adopt a slightly more cautious tone? Yen retreats, stocks rebound as risk sentiment recovers However, bond and stock markets are not on the same page today Barrage of corporate earnings coming up: Microsoft, Facebook, Tesla, Boeing No action from Fed, but perhaps a more dovish take Investors may finally divert their attention away from the deadly coronavirus today, when the Federal Reserve concludes its policy meeting at 19:00 GMT. There’s virtually no chance [..]

Bank of England: Could be a tense meeting – Forex News Preview

Posted on January 29, 2020 at 11:53 am GMT

The Bank of England (BoE) is having its first policy meeting for 2020 on Thursday at 12:00 GMT and a day before the UK officially departs from the EU. Despite the political relief, the rate decision, which will be the last for Governor Mark Carney before his term ends in mid-March, may not be an easy task. Nevertheless, expectations are for the Bank to keep rates at the same level and remain patient until further notice. BoE may pause for [..]

Daily Market Comment – Risk sentiment stabilizes as virus worries calm, but caution lingers

Posted on January 28, 2020 at 9:51 am GMT

Wall Street futures signal a rebound, even without any ‘good news’ However, pockets of stress still evident in the market Japanese stocks decline further, aussie and kiwi can’t get off the floor Today: US durable goods, earnings bonanza begins with Apple Risk aversion takes a breather as virus nerves calm, for now The virus-related uncertainty that plagued global markets in recent days started to abate on Tuesday, with the safe-haven Japanese yen unable to extend its recent gains and futures [..]

Technical Analysis – GBPUSD faces symmetrical triangle; broader trend is bullish

Posted on January 28, 2020 at 7:53 am GMT

GBPUSD is lacking direction over the last five weeks, creating a symmetrical triangle in the short-term after reversing from the 14-month high of 1.3515. When looking at the bigger picture, the pair has a clear bullish trend since September 2019 but technical indicators are confirming the recent neutral mode. The RSI is declining slightly below the 50 neutral level, while the MACD oscillator is failing to strengthen its momentum near the zero line. Currently, the price is hovering below the 20- and 40-simple moving averages (SMAs) [..]

Week Ahead – Fed to stand pat but BoE could cut; US and Eurozone Q4 GDP eyed

Posted on January 24, 2020 at 12:45 pm GMT

There will be no shortfall of market-moving events in the coming week, with plenty of top-tier data and crucial central bank meetings shaping the agenda. The Federal Reserve will hold its first policy meeting of 2020 but Q4 GDP and PCE inflation numbers out of the United States are likely to be more helpful for investors in gauging the next move in interest rates. In comparison, the Bank of England’s meeting is expected to be the most exciting in quite [..]

Daily Market Comment – Euro slips after ECB; stocks stage another comeback

Posted on January 24, 2020 at 12:28 pm GMT

Euro/dollar breaks lower as ECB is a touch more dovish than expected European PMIs today were mixed, leaving the euro in search of direction Stocks recover losses, but yen doesn’t move accordingly – excess liquidity to blame? UK PMIs beat forecasts, arguing for the BoE to stay on hold next week Euro drops as Lagarde doesn’t hit back at negative rates As expected, the European Central Bank (ECB) made no changes to its stimulus program yesterday, nor did President Lagarde [..]

Daily Market Comment – ECB meets after BoC sinks loonie; risk appetite wobbles

Posted on January 23, 2020 at 9:54 am GMT

ECB to stay on hold – risks tilted towards a slightly more upbeat narrative BoC teases rate cut, sends loonie plunging Yen jumps as China seals off major city to avoid virus contagion Pound and aussie soar after strong data diminish odds of rate cuts ECB decision: No action, but perhaps a less dovish tone All eyes will be on the European Central Bank (ECB) today, which concludes its policy meeting at 12:45 GMT. No action is expected, so the [..]

UK PMIs to rebound in January but will it be enough to quash rate cut speculation? – Forex News Preview

Posted on January 22, 2020 at 3:11 pm GMT

The flash PMI releases due on Friday (9:30 GMT) for the United Kingdom will be highly significant as they could be the deciding factor for the Bank of England ahead of their rate setting meeting on January 30. There have been strong hints lately from BoE officials that a rate cut is very much on the table at the upcoming meeting after the economy stagnated at the end of 2019. But with much of that slowdown being attributed to political [..]

Daily Market Comment – Don’t fear the virus; BoC rate decision in sight

Posted on January 22, 2020 at 9:19 am GMT

BoC to stay on hold, but any hints of concern might elicit sharp downside in loonie Risk sentiment recovers as concerns about the virus fade Decent UK data lift sterling, but PMIs will be the casting vote on rate cut BoC meeting: Another asymmetric event for the loonie The main event today will be the Bank of Canada (BoC) rate decision at 15:00 GMT. A press conference by Governor Poloz will follow about an hour later. Rates are almost certain [..]

Legal disclaimer: The material does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instruments. XM accepts no responsibility for any use that may be made of these comments and for any consequences resulting in it. No representation or warranty is given as to the accuracy or completeness of this information. Consequently, any person acting on it does so entirely at their own risk. The research and analysis does not involve any specific investment objectives, financial situation and needs of any specific person who may receive it.

It has not been prepared in accordance with legal requirements designed to promote the independence of research, and as such it is considered to be marketing communication. Although we are not specifically constrained from dealing ahead of the publication of our research, we do not seek to take advantage of it before we provide it to our clients. We aim to establish, maintain and operate effective organisational and administrative arrangements with a view to taking all reasonable steps to prevent conflicts of interest from constituting or giving rise to a material risk of damage to the interests of our clients. We operate a policy of independence, which requires our employees to act in our clients’ best interests and to disregard any conflicts of interest in providing our services.

CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losing all of your invested capital, so please make sure that you fully understand the risks involved.