Early this morning the UK released data showing Retail figures for Jan 2011. These came out surprisingly well with an over 2% increase on year-on-year figures. Many will put this down to the snow not just in Dec 2010 but also in Jan 2010 so an improvement of this figure was well expected by the market. Going forward over the coming days the intensity will increase until data is released this coming Thursday. We are expecting first GDP figures for Jan, along with manufacturing figures and the interest rate decision for the UK. All of which are large reports that could really move the market.
- GDP figures will be important following this month’s estimate for Q4 2011 came in at -0.5% growth. This really weakened sterling and this figure which is expected to show a 0.5% growth could really add to the run of strength for sterling against most currencies.
- Manufacturing figures will also be key as one of the biggest areas of growth for the UK. Expectations are for a slight fall in productions.
- Then at 12 noon the Bank of England release the interest rate decision for the UK. Many are speculating that this will raise through the year and the housing market has already factored in a 18% chance of an earlier than expected rise. So this is the one to watch if you are in a position to move and want to roll the dice. If not and you are looking at sending money abroad I would suggest completing your exchange before this release.
If you are buying or selling currency this week Thursday is the day to watch, if you are in a position ready to trade and would like our assistance highlighting peaks please let me know.