Market movers today
• The calendar is somewhat lightweight with UK industrial production figures the key event. UK data are in focus ahead of the all-important Bank of England meeting in August when new governor Carney may introduce a more explicit form of forward guidance. However, should data continue to surprise on the upside it may be difficult for the newcomer to do the great turnaround on the MPC.
• Focus will also be on developments in Egypt where an new election is set within seven months. So far both the Suez channel and the Sumed pipeline controlled by Egypt are reportedly unaffected by the unrest but oil prices could react swiftly to any indications of oil-infrastructure closures.
• ECB’s Asmussen speaks this afternoon. From Draghi’s talk yesterday it seems the ECB is largely satisfied with the market reaction to Thursday’s rate meeting and thus the need for further verbal intervention at this stage should be limited. Note also that German chancellor Merkel will speak at a CSU event ahead of this autumn’s election.
Read the full report: FX Daily
Danske Bank