News & analysis

The DXY index ends the week only slightly higher after falling to January lows on Tuesday and Wednesday despite economic events being sparse throughout the week. Several comments from Federal Reserve members pointed to a slight hawkish shift in the central bank’s overall tone, but markets didn’t deem this established enough for it to spill over into fixed income pricing. Meanwhile, hawks from the European Central Bank have kept quiet regarding policy tightening recently, signalling to markets that the ECB may take its time to reduce purchases via the QE programme. For the Bank of England, MPC member Gertjan Vlieghe stated that an earlier-than-expected rate hike is possible, which helped sterling stabilise this week despite the BoE’s CHAPS data showing hesitant consumer mobility. Next week, the focus turns to labour market data from the US and Canada after April’s underwhelming reports.

Read our latest Week Ahead in full here:

DOWNLOAD THE FULL REPORT

 

 

Disclaimer
This information has been prepared by Monex Europe Limited, an execution-only service provider. The material is for general information purposes only, and does not take into account your personal circumstances or objectives. Nothing in this material is, or should be considered to be, financial, investment or other advice on which reliance should be placed. No representation or warranty is given as to the accuracy or completeness of this information. No opinion given in the material constitutes a recommendation by Monex Europe Limited or the author that any particular transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research, it is not subject to any prohibition on dealing ahead of the dissemination of investment research and as such is considered to be a marketing communication.