To recap on Friday, we saw a reduction in the initial jobless claims for the US following that the job market in the US remains strong.

A reduction in weekly jobless and initial claims for the US confirming a continuing strong job market. If look back to the start of the month, non-farm payroll, that pictured an extremely healthy report on the job market and while retail sales been strong too and business activity rebounding to an eight-month high for February.

Yesterday’s FOMC meeting minutes from The Federal Reserve brought further strength to The USD, as we saw both GBP & EUR lose ground by 0.5%.

Uk public sector net borrowing. In the UK we saw net borrowing rise by another £6.2b to -£24.8b I don’t foresee this impacting markets with us being an importing country we always expect this to rise

To recap on Friday, we had 4 FED speeches, simply just talking about economic outlook of what’s yet to come they basically mentioned they are going to be more hawkish and there’s a need for further rate hikes which will further boost the dollar.

Yesterday we saw US PPI (producer price inflation) reach 0.7%, its highest level in 7 months. We also had four speeches from Federal Reserve members commeting on the economic outlook for the US.

The USD dipped slightly this morning, giving up some of its gains from yesterday but is still keeping GBP struggling to break the 1.21 area and the EUR just about hanging on to 1.07. U.S Retail Sales rebounded sharply in January after two straight months of declining figures, rising 3% on the month when compared to December’s 1.1% fall.

Yesterday we saw UK Employment data release above expectation, which saw GBP climb above both Dollar & Euro. 34K more jobs above forecast and unemployment remained unmoved at 3.7%.
Average earnings however dropped by 0.3% below forecast to 5.9%.