Market Report : 29.08.23

Published: 29/08/2023 By ECAP

The British Pound was relatively flat as UK markets were closed yesterday due to the Summer Bank Holiday. However, hawkish comments from BoE Deputy Governor Ben Broadbent seemed to keep the British Pound afloat. In fact, BoE’s Broadbent cited the need for higher rates due to increasing wage pressure at the Jackson Hole Symposium.

The Euro managed to hold its ground following recent losses as French Finance Minister Bruno Le Maire denied cutting interest rates in the near future. Moreover, ECB President Christine Lagarde stated at the Jackson Hole Symposium that the battle against inflation is not yet won. Moving on, market participants will monitor the top-tier data from the Eurozone for fresh impetus.

The US Dollar eased off from a nearly three-month top set last week as a positive risk tone dragged the safe-haven lower. Looking forward, investors await upcoming data releases from the US, seeking new insights into the country's economic prospects. In fact, these datasets are anticipated to provide valuable perspectives, potentially impacting the Dollar’s price action.