European inflation continues to beat market consensus; Fed's preferred inflation indicator to release today; UK GDP growth slows.
March 31, 2022
GBP/USD 1.3121 GBP/EUR 1.1803 EUR/USD 1.1117 USD/CAD 1.2529 EUR/CHF 1.0278 EUR/SEK 10.3402 EUR/NOK 9.6794 EUR/DKK 7.4385 USD/ILS 3.1736 AUD/USD 0.7473 NZD/USD 0.6931 USD/SGD 1.3541 USD/JPY 122.07 USD/CNH 6.3519 USD/INR 75.7100 EUR/ILS 3.5280 GBP/ILS 4.1639 USD/ZAR 14.5116
A record number of UK companies are expected to increase wages over the next year, as living costs stress the consumer.
UK GDP growth shows sign of stagnation rising by only 0.1% over March.
EURGBP trades down -0.3%EUR
German inflation jumped to 7.3%, up from 5.1% the previous month. This highlighted a worsening inflation outlook across the continent, as Spanish inflation also came in at 9.8%. The Bloc’s CPI is set to be announced tomorrow. This could prompt the ECB to change tact on monetary policy.
EURUSD trades down -0.35 intraday.USD
The US announces it is considering a release of a million barrels a day, from its reserves, sending oil prices plummeting, hence rising global equities.
Jobless Claims are expected to rise to 196,000 later today. The Fed’s preferred inflation measure, the PCE deflator also reports today.
Fed officials are keeping a close eye on the yield curve, to monitor the impact of their implied future policy. This follows a brief inversion on the 2- and 10-year yield curve.ASIA/PACIFIC
Chinese provinces sold special bonds at the fastest pace ever for the first quarter, hinting that infrastructure investment might pick up. China’s manufacturing PMI, slipped into the red at 49.5, following lockdowns in key manufacturing hubs.
Japan’s industrial outlook slipped by 0.1%, below estimates of 0.5%ILS
USDILS has continued its downward trend, falling -0.18%. The pair trades down almost -2.5% on the month.Data & Events
US – Initial Jobless Claims
US – PCE deflator
OPEC Monthly Meeting
CPI – Italy and France
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