Currency Note Sterling

Sterling clawing its way back

By Ricky Bean October 20th, 2014

Having plunged the depths in the middle of last week sterling ended the week on a positive note especially against the euro which could be down to an improved long-term outlook following Bank of England member Haldane saying that a mid-2015 rate hike is not out of the question.

A mixture of UK data is to be released in the second half of this week which will keep markets and commentators on their toes. Wednesday sees the minutes released from the latest Bank of England (BoE) meeting. Here we will see which way each member voted and, more importantly, if any more members have voted to increase interest rates this time around. Following several recent dovish statements from voting members, and recent poor performance from the UK economy, it is unlikely we will see any change from the previous meeting.

Aside from this, we will see retail sales data released on Thursday which are expected to show further contraction, and on Friday a preliminary growth estimate for the third quarter of 2014. This is forecast to show a predicted slowdown in UK growth throughout the previous quarter, further underlining the recent travails of the UK economy.