020 7898 0500Friday was a good day for the dollar and so there was particular focus on Monday to see if it could continue where it left off following the release of positive non farm payrolls. Yes was the answer – and it made some pretty significant gains against the pound. It has clawed back quite a bit of the ground it has lost so far in 2018 and it’s possible it could climb even higher in the coming days.
Composite and services PMI came in ever-so-slightly below expectations, but the readings were still positive at 53.8 and 53.3 respectively. Besides, the glow from the non farm payrolls could still be felt by investors who were certainly buoyed by the news. The main release came in the form of the non-manufacturing PMI for January, which smashed forecasts by coming in at 59.9. That is a very healthy reading.
Today we will see the balance of trade figures released. If the deficit narrows that could be all investors need to pile into the dollar once more. We’re set for another fascinating day.
