Market insights

US news sparks strength in the Dollar - Market Insight 28th July 2023

The Dollar had a great day yesterday against most other major currencies. Durable goods orders, initial jobless claims and preliminary GDP data all well ahead of expectations. Combine that with the highest interest rate in 22 years and dropping inflation and things look quite rosy across the pond right now.

Around the same time that all of that was happening the ECB increased their base rate by the expected 0.25% to 3.75%. On the back of that Euro rates remained fairly static. However that may well change today as individual countries in the Eurozone release their inflation numbers. The highlight will be the German number where analysts are expecting 6.2% annualised growth.

Prior to that there's Eurozone consumer sentiment out mid morning. Analysts are predicting a reading of -15.1 indicating a lack of confidence.

Early afternoon sees personal income and expenditure in the States so could be a bumpy afternoon again in the currency markets.

Business news returns to artificial intelligence. In the US, actors are currently on strike with one of the reasons cited being the surge in AI and what the knock on effect could be if AI imagery replaced real actors. Throw into the mix the latest job ad at Netflix who are offering $900k pa for an AI expert and the situation could become more volatile.

Get your free quote now

Economic calendar

EUR: 10:00 Consumer Confidence

GER: 13:00 Inflation Data

US: 13:30 Personal Income and Expenditure

CHN: Monday 02:00 Manufacturing Information

As ever we look forward to looking after you and please keep an eye out for our next Insight.

Our friendly currency experts are always on hand to help you. We offer a first class service backed up by an easily accessible online platform to ensure you always have visibility of your transactions.

Our business ethos is based on bank beating and fantastic customer service. Click on the link above for a free, no obligation quote, and see for yourself how Regency FX can save you money.

Open a free account

It is free and easy