The Euro has made significant gains in the past 24hrs with German Business Confidence unexpectedly rising to a 15-year high in April against forecasters predictions of a slight decline from March due to higher energy and oil prices. The ifo Index rose to 105.9, the highest level since April 1991, which has increased speculation that the ECB will need to raise interest rates again in the coming months as growth in Europe’s largest economy begins to gain momentum and there is some significant data released in the Euro-zone this morning with Industrial Production set to climb 0.2% in February.
With regards Sterling, UK Factory Orders declined to their slowest pace in more than a year, however, the Confederation of British Industry continue to remain positive regarding future manufacturing output despite a slight drop in UK exports this month.
The Dollar was given an unexpected boost yesterday with U.S Existing Home Sales rising 0.3% in March to $6.92 Million while many analysts were anticipating further evidence of a cooling housing market. In addition, U.S Consumer Confidence unexpectedly rose to its highest level in four years primarily due to an improving market, which seems to have quashed concerns over higher petrol prices. There is some important data released this afternoon in the States with U.S Durable Goods Orders expected to climb 1.8% in March and if New Home Sales also shows unexpected growth, speculation will intensify that the Federal Reserve will continue raising interest rates twice more this year.
Data Released 26th April
UK 09:30 GDP (Q1 Prelim)
EUR 10:00 Industrial Production (Feb)
U.S 13:30 Durable Goods Orders (Mar)
U.S 15:00 New Home Sales (Mar)
U.S 17:00 Fed Issues Beige Book
written by Adam Solomon
Related posts:
- U.S Consumer Confidence expected to decline following higher energy costs and rising fuel prices
- Sterling stands firm as UK Average Earnings rise year-on-year, shrugging off poor unemployment data
- German GDP for the 4th quarter was surprisingly low…
- Consumer confidence was also firm, giving investors a good indication that Xmas sales will be strong…
- The Dollar made a new high against the Euro in early trade yesterday…
