Critical UK Inflation data released ahead of GBP/EUR head-to-head

By Matthew Boyle

This week could be a critical week for GBP>EUR rates. With central bank intervention being one of the driving factors in rates currently, throughout the week we have several speeches by various members of the Bank of England (BoE), the European Central Bank (ECB) and the Federal Reserve (FED), all of which provide insight into what might be the policy moving forward and what to expect.

Wednesday looks critical as we have UK inflation in the morning followed by speeches from members of all three. With inflation at 9% and directly linked to the BoE’s policy regarding interest rate levels, this reading will help determine the ongoing path the Bank might take – if it rises again, we can expect the bank to continue with an aggressive approach. Should it drop, it would suggest the bank will pull back or at least pause with any further action, at least in the short-term. With exchange rates so strongly linked to interest rate performance this is certainly one to watch closely for anyone with a GBP/EUR interest.

Thursday sees the GBP/EUR head-2-head continue as both release PMI data which shows how well private sector manufacturing and services companies are performing. Later that day we also have bank stress info from the US – interesting to see how the FED given its safe-haven status is holding up following their aggressive interest rate hikes against the backdrop of Global uncertainty.

If you have any upcoming transfers speak to A Place in the Sun Currency today for some guidance on how you might take out the risk of rates moving against you and your costs increasing.


13.00     EUR        ECB President Lagarde Speech

21.00     NZD       Westpac Consumer Survey (Q2)


0.00        AUD       RBA Governor Lowes speech

01.30     AUD       RBA Meeting Minutes

07.15     GBP        BoE Member Speech

12.30     CAD       Retail Sales


06.00     GBP        BoE Inflation Data

07.00     EUR        ECB Members speech

08.40     GBP        BoE Member Speech

12.30     CAD       BoC Inflation data

13.30     USD        FED Chair Powell Testifies


0.00        EUR        EU Leaders summit

07.30     EUR        German PMI data

08.00     EUR        Eurozone PMI data

08.30     GBP        UK PMI data

14.00     USD        FED Chair Powell testifies

20.30     USD        Bank stress test info


06.30     GBP        UK retail sales

08.00     EUR        German business climate info

11.30     AUD       RBA Governor Lowes Speech

12.30     GBP       BoE Member Speech

13.45     GBP        BoE Member Speech