On the one hand, currency and bond markets have been fairly range-bound recently. Stock markets, on the other hand, have hit new highs with the US S&P 500 on a winning streak for seven consecutive days. This is the first time we’ve seen this since 2013. This has been boosted by the recent bout of positive global economic data.
This week we’ll get PMI data for February. After the recent spell of strong manufacturing data, achieving a 14-month high, and services data achieving a 23-month high, the latest figures are forecast to show another improvement, reinforcing expectations of further US interest rate hikes soon with a reasonable possibility of one in March.