Fed toying with restrictive policy stance; Russia opens corridors for grain exports; Sue Gray report ‘humbles' PM.
May 26, 2022
GBP/USD 1.2567 GBP/EUR 1.1766 EUR/USD 1.0681 USD/CAD 1.2822 EUR/CHF 1.0253 EUR/SEK 10.5807 EUR/NOK 10.2353 EUR/DKK 7.4389 USD/ILS 3.3487 AUD/USD 0.7089 NZD/USD 0.6475 USD/SGD 1.3751 USD/JPY 126.66 USD/CNH 6.7603 USD/INR 77.5850 EUR/ILS 3.5765 GBP/ILS 4.2081 USD/ZAR 15.7161
Sue Gray’s report pointed to ‘failures of leadership’, with reports of excessive drinking and poor behaviour amongst No 10. Staff, with the approval of senior management.
Today will see Rishi Sunak’s plan to help households cope with soaring living costs.
GBPUSD trades higher by 0.15%.EUR
Viktor Orban has ordered Hungary’s largest firms to share ‘large profits’ to aid the country through the cost-of-living crisis. The funds will be used to subsidize utility costs and increase defence spending.
EURUSD trades higher by 0.1%. The Stoxx has opened higher, trading up 0.3% as we print.USD
Fed officials stated that a restrictive policy may be necessary, dependent on economic performance. However, the consensus still stands for 0.5% hikes at the next few meetings.
Meanwhile, after international pressure, Russia will allow sea corridors from 7 Ukrainian port, to ease the global food crisis caused by the war.
The S&P500 closed higher by almost 1% yesterday.ASIA/PACIFIC
China’s economy remained in a deep slump in May as lockdowns continue to weigh on activity. This comes as Bloomberg index of indicators showed weaker activity.
The BOK raised its key rate 0.25% up to 1.75%.ILSUSDILS trades higher by 0.25%. The pair has struggled to find any directional momentum over recent days.Data & Events
US – Jobless Claims
US – 1Q GDP
Italy – Consumer Confidence & Sentiment
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