Market Report Week 13/14

UK:

• The British pound dipped towards the $1.26 mark at the end of March, staying close to its lowest level since mid.
• February and heading for a near 1% quarterly loss against the USD.
• The British economy contracted by 0.2% year-on-year in the fourth quarter of 2023, marking its first period of shrinkage since the 2020-21 recession, primarily driven by high inflation, soaring borrowing costs, and sluggish external demand.

EURO:

• The euro dipped below $1.08 at the end of March, touching its weakest level since February 19th and setting course for a near 2% quarterly decline against the US dollar.
• The economic sentiment indicator in the Euro Area increased to a three-month high of 96.3 in March 2024, marking an uptick from February's revised figure of 95.5 and aligning with market expectations.

USA:

• New orders for manufactured durable goods in the United States rose by 1.4% month-over-month in February 2024, more than market expectations of a 1.1% increase and after a downwardly revised 6.9% fall in January.
• The US economy expanded an annualized 3.4% in Q4 2023, slightly higher than the 3.2% previously reported, according to the third estimate from the BEA.
• Federal Reserve Governor Lisa Cook said the US central bank must take a cautious approach to cutting interest rates to allow more time for inflation to slow down in some segments of the economy.

Week Ahead:

Friday (March 29th)

• US Core PCE Price Index (1:30 p.m.)
• Fed Chair Powell Speech (4:30 p.m.)

Monday (April 1st)

• USA ISM Manufacturing PMI (2 p.m.)

Tuesday (April 2nd)

• UK Nationwide Housing Prices (6 a.m.)
• BoE Consumer Credit (8:30 a.m.)
• USA Job Openings (2 p.m.)

Wednesday (April 3rd)

• Euro Area Inflation Rate YoY (9 a.m.)
• USA Services PMI (2 p.m.)
• Friday (05/04) - USA Non-Farm Payrolls (12:30 p.m.)
• USA Unemployment Rate (12:30 p.m.)