Gray Structure

26th February 2021

HOW HAS THE POUND BEEN PERFORMING?

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Against the US Dollar

GBP/USD opened the week at 1.4050 heading towards the 1.4100 region with all eyes on PM Boris's speech mentioned UK's "Roadmap to recovery". In a nutshell, the recovery is broken down into 4 stages, each paced 5 weeks apart to ensure the UK's outbreak doesn't take a significant turn for the worse. The Pound hit a new record 3-year high of 1.4242 on Wednesday, as FED's Powell said the U.S economy is a long way from employment and inflation goals and promised to maintain near-zero rates for a long time until succeeded. The Pound's strength didn't last long and the market seems to think it's overstretched seeing the pair hit below 1.3900 this morning.       

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Against the Euro


GBP opened against the Euro at 1.1555 gradually rising from Monday morning as the UK release their "roadmap to recovery" plan as mentioned above. The pair hit 1.1698 (0.8548), which is the highest it's been since the "corona crash" at the end of Feb 2020. These levels didn't last long as with some positive Euro data coming out later on this week from the economic docket. The pair is currently trading at 1.1470.

Brexit, Covid & Economic Data

- If you have US Dollars or Euros to buy or sell please contact the desk. It's important to try and get the timing right with the Pound being very volatile, our desk can try and support to the best we can.


Please note, this can cause a negative impact for Sterling.

ECONOMIC CALENDAR

Next week​

1st - 5th March 2021

Monday:

0
7:30 CHF Real Retail Sales
08:15 EU Spain Markit Manufacturing PMI
08:45 EU Italy Markit Manufacturing PMI
08:55 EU German Markit Manufacturing PMI
09:30 UK Markit Manufacturing PMI
13:00 EU German HICP (MoM)(YoY)
14:00 US Fed's Williams Speech
14:45 US Markit Manufacturing PMI
15:00 US ISM Manufacturing Employment Index
15:00 US ISM Manufacturing PMI
15:00 US ISM Manufacturing Prices Paid
15:00 US ISM Manufacturing New Orders

Tuesday:

07:00 EU German Retail Sales (MoM)(YoY)
08:55 EU German Unemployment Rate
10:00 EU Consumer Price Index (YoY)(Feb)

Wednesday:

08:15 EU Spain Markit Services PMI
08:45 EU Italy Markit Services PMI
08:55 EU German Markit PMI Composite
09:00 EU Italy GDP (YoY)(QoQ)
09:00 EU Markit PMI Composite
13:15 US ADP Employment Change
14:45 US Markit Services PMI & Composite
15:00 US ISM Services PMI & New Orders
15:00 US ISM Services Employment & Prices Paid Index
19:00 US Fed's Beige Book

Thursday:

09:00 EU Economic Bulletin
10:00 EU Retail Sales (MoM)(YoY)
10:00 EU Unemployment Rate
13:30 US Continuing & Initial Jobless Claims
13:30 US Nonfarm Productivity
13:30 US Unit Labour Costs (Q4)
15:00 US Factory Orders

Friday:

07:00 EU German Factory Orders
13:00 US Nonfarm Payrolls
13:30 US Goods & Services Trade Balance
13:30 US Average Weekly & Hourly Earnings
13:30 US Labour Force Participation Rate
13:30 US U6 Unemployment Rate
13:30 US Unemployment Rate