Good morning
Not a bundle of news from the currency markets this morning, GBPUSD is 1.2925, EURUSD 1.0885, still just unable to really breach 1.0900, GBPEUR 1.1870. If these levels sound familiar, they are pretty much where they were this time yesterday.
USDJPY is 156.65, over 500 pips off the July highs, remember we believe Japan intervened by selling USD when the US inflation numbers came out a couple of weeks ago. Since then we have seen some further moves lower in USDJPY, it reached 155.50 late last week. GBPJPY is 202.25, worth watching 202.00 which has really been the lows over the past month or so.
We have a rate announcement from Turkey today, I tend to watch this only because the numbers are pretty incredible. Rates are currently 50%, they are expected to stay there although some are starting to talk of potential rate cuts after inflation has declined from its highs of almost 75% in May to 71.5% in June. Possibly a touch early. USDTRY is 32.95, EURTRY 35.90, GBPTRY 42.65.
I’ve not really been to Turkey much, but I do fancy going. I did have a look at possible cheap holidays to Turkey recently but they all came in quite a lot more than I’d expected. I’m not saying there are no bargains, but most of those I looked at and most people I know who have been have looked at all-inclusive deals which were priced more akin to UK prices. I’m sure there are places where you feel like you’re getting some value at 42.65 Try to the GBP, I’ve just not seen them yet. Or maybe they are good value, just a lot more than I thought I might get away with, particularly now I’m paying for five adults. Any suggestions feel free to let me know.
Much of the news is obviously on the US Presidential race, Harris gaining quick support following Biden’s stand down, she reportedly raised US$81m in the past day or so to help her campaign and seems to have the support needed to secure nomination. I can’t help thinking that this is what is wrong with US democracy. It seems one can really only stand if they have huge bundles of money to help them along. I have no doubt there are some better candidates out there but without the vast financial support required they won’t stand much of a chance.
There is a lot of speculation as to how Biden is right now. Obviously the source of much merriment when he fumbles his way through speeches, but remember he remains the President of the US and there is a decent chance he is more ill than is being reported. As current vice-president, could Harris become the next President ahead of the November elections?
Just a few days to go before the Paris Olympics begins. I’d mentioned the other day that I didn; think the Olympics were quite the event they used to be. I remember gathering round the TV to watch the flagship races, such as 100metres, or 4x100 and 4x400 relays. I don’t feel the same these days. OK, if I’m in when its on I’ll watch it, but I’m not adjusting my extensive(?) social calendar around the Olympics. My comments were met with a mixed response, some of you completely agreed, while some are counting down the days, looking forward to the Olympics as perhaps I used to.
Have a great day, it does have the potential to be another quiet one but with a busier economic calendar over the next few days there is a chance things could get a little more exciting.
- 12.00 CBRT rate announcement
- 15.00 US existing home sales
- 15.00 EU consumer confidence
- 00.00 AUS Judo Bank manufacturing, services PMI
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