The Pound declined against the Dollar while making gains against the Euro yesterday. The outlook is still negative for the UK with recent economic data disappointing. November Claimant Count came in lower than expected at 3k vs. 16k forecast. The Unemployment Rate stayed at 8.3%. Looking ahead, November Retails Sales forecast at -0.3% vs. 0.6% previously m/m.
The Dollar made gains against the Dollar and the Pound as risk aversion continued.
Very large drops in Oil on the back of OPEC decision to increase production added to the Dollar strength. Looking ahead, Weekly Jobless Claims forecast at 390k vs. 391k previously. Also November Industrial Output forecast at 0.2% vs. 0.7% previously.
The Euro declined against the Euro and the Pound yesterday as yields continued to edge higher in Europe with Italian and Spanish debt both moving closer to the 7% level seen as the tipping point. EUR/USD broke below 1.3000 but the market did find support at 1.2950. Looking ahead, November Inflations forecast at 0.1% vs. 0.3% m/m previously. Also December PMI services forecast at 47 vs. 47.5 previously.
Data released 15th December 2011
UK 09.30 Retail Sales (November)
EU 10.00 Employment (Q3)
EU 10.00 Final HICP (November)
UK 11.00 CBI Industrial Orders (December)
US 13.30 Current Account (Q3)
US 13.30 Empire State / NY Fed Manuf. (December)
US 13.30 Initial Jobless Claims (w/e 10th December)
US 13.30 PPI (November)
Ex Food & Energy
US 14.00 TICS Net Capital Flows (October)
US 14.15 Industrial Production (November)
Capacity Utilisation
US 15.00 Philly Fed Business Survey (December)
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