Market Report : 13.03.2024

Published: 13/03/2024 By ECAP

The British Pound was relatively flat this morning in anticipation of several key economic readings. Gross domestic product, industrial production and trade data for January are all due later in the session and are expected to offer more cues on the British economy, as it grapples with sluggish growth. The GDP data in particular will be in close focus, after the economy shrank slightly less than expected in December.

The Euro gained some ground yesterday, primarily driven by the release of February's inflation data from Germany. The German statistics office reported the Harmonized Index of Consumer Prices with a YoY consistency at 2.7% in February, in line with expectations. Today’s agenda is relatively poor apart from Eurozone industrial production.

The U.S. Dollar steadied this morning, retaining the bulk of its overnight gains after strong consumer inflation data furthered bets on higher for longer rates. The reading showed that inflation remained stickier than expected, feeding into concerns that the Federal Reserve will have little impetus to begin trimming interest rates.

Data supplied by GC Partners