1-888-998-3948


Monday, July 17, 2017

Currency Market Trend Analysis: July 17, 2017

Currency Market Trend Analysis: July 17, 2017
Source: CXI International Payments Team

 

 

Looking For International Payments Solutions?

Get access to our free whitepaper and unlock everything you're missing.


 

By The Numbers: Your FX Week In Review

 
 
Foreign currency value versus USD is decreasing
 
Foreign currency value versus USD is increasing

*Indicators show the percent change over the past week.

Currency Calendar

Date Releases / Holiday Entity
July 17, 2017 CPI (Jun) EMU
July 18, 2017 PPI (Jun) UK
July 18, 2017 CPI (Jun) UK
July 18, 2017 BoE’s Governor Carney Speech UK
July 18, 2017 Export/Import Price Index (Jun) USA
July 19, 2017 Housing Stats (Jun) USA
July 19, 2017 EIA Crude Oil Stocks Report USA
July 20, 2017 PPI (Jun) Germany
July 20, 2017 Retail Sales Data (Jun) UK
July 20, 2017 ECB Interest Rate Decision EMU
July 20, 2017 ECB Monetary Policy Statement EMU
July 21, 2017 Public Sector Net Borrowing (Jun) UK
July 21, 2017 CPI (Jun) Canada

Upcoming bank holidays and impactful report releases for select countries.

Market Analysis

CAD/USD - Canadian Dollar

The CAD opened last week at 0.7767 and closed at 0.7899. 

The CAD appreciated by 1.71% against the USD last week, in the wake of poor US CPI and consumer spending data. This data contradicts Yellen’s statement that the slow-down in inflation is temporary, reducing the likelihood of a US rate hike in the near-future. The BoC raised the repo rate by 25 bp last week – an anticipated event that was already priced in to exchange rates. 

The CAD is likely to trade steady until Friday, at which point the new CPI data will be the main driver of volatility.

 

1. CPI (Jun): Friday July 21.

 

 

GBP/USD - British Pound

The GBP opened last week at 1.2889 and closed at 1.3076.

The GBP appreciated 1.45% against the USD over the past week. This appreciation was largely due to weak US CPI and consumer spending data., tempered by recent BOE policymaker comments indicating a reluctance to raise rates. Brexit talks begin today, and are likely to increase volatility in the beginning of the week. 

The CPI data, releasing Tuesday will be the largest rate driver through the week. Expect slight appreciation, barring lower-than-expected CPI data.

 

1. PPI (Jun)Tuesday July 18.

2. CPI (Jun)Tuesday July 18.

3. BoE's Governor Carney Speech: Tuesday July 18.

4. Retail Sales Data (Jun): Thursday July 20.

5. Public Sector Borrowing (Jun): Friday July 21.

 

 

EUR/USD - European Union Euro

The Euro opened last week at 1.1401 and closed at 1.1452.

Over the past week, the Euro has appreciated by 0.45% against the USD, largely due to weak financial metrics from the US. The Euro is being bolstered by rising expectations of QE tapering. It is not expected that the ECB will increase rates this Thursday. Expect slight appreciation, with a potential acceleration on Thursday.

 

1. ECB Interest Rate Decision: Thursday July 20.

2. ECB Monetary Policy Statement: Thursday July 20.

 


 

FX Market Pro

Corporations & Financial Institutions: Want to get ahead of the curve for the upcoming week? Get CXI's currency market trend analysis sent directly to your inbox weekly.


About the Author

Collin McAliley

 Collin McAliley - Financial Analyst

Collin educates corporate clients on foreign currency markets lending industry best practices that enhance client knowledge and create specialized solutions that fit each business. Interested in having a custom international payments strategy or foreign exchange risk plan?

 

 


About Currency Exchange International
Currency Exchange International (CXI) is a leading provider of foreign currency exchange services in North America for financial institutions, corporations and travelers. Products and services for international travelers include access to buy and sell more than 90 foreign currencies, multi-currency cash passports, traveler's cheques and gold bullion coins and bars. For financial institutions and corporations, our services include the exchange of foreign currencies, international wire transfers, global EFT, the purchase and sale of foreign bank drafts, international traveler's cheques, and foreign cheque clearing through the use of CXI's innovative CEIFX web-based FX software www.ceifx.com

Disclaimer: All product names, logos, and brands are property of their respective owners. All company, product and service names used in this website are for identification purposes only. Use of these names, logos, and brands does not imply endorsement.

This publication has been prepared by Currency Exchange International for informational and marketing purposes only. Opinions, estimates and projections contained herein are our own as of the date hereof and are subject to change without notice. The information and opinions contained herein have been compiled or arrived at from sources believed reliable, but no representation or warranty, express or implied, is made as to their accuracy or completeness and neither the information nor the forecast shall be taken as a representation for which Currency Exchange International, its affiliates or any of their employees incur any responsibility. Neither Currency Exchange International nor its affiliates accept any liability whatsoever for any loss arising from any use of this information. This publication is not, and is not constructed as, an offer to sell or solicitation of any offer to buy any of the currencies referred to herein, nor shall this publication be construed as an opinion as to whether you should enter into any swap or trading strategy involving a swap or any other transaction. The general transaction, financial, educational and market information contained herein is not intended to be, and does not constitute, a recommendation of a swap or trading strategy involving a swap within the meaning of U.S. Commodity Futures Trading Commission Regulation 23.434 and Appendix A thereto. This material is not intended to be individually tailored to your needs or characteristics and should not be viewed as a "call to action" or suggestion that you enter into a swap or trading strategy involving a swap or any other transaction. You should note that the manner in which you implement any of the strategies set out in this publication may expose you to significant risk and you should carefully consider your ability to bear such risks through consultation with your own independent financial, legal, accounting, tax and other professional advisors. All Currency Exchange International products and services are subject to the terms of applicable agreements and local regulations. This publication and all information, opinions and conclusions contained in it are protected by copyright. This information may not be reproduced in whole or in part, or referred to in any manner whatsoever nor may the information, opinions and conclusions contained in it be referred to without the prior express written consent of Currency Exchange International.
Posted By Rachel Butler at 10:47 AM
comments powered by Disqus

Platinum Passport

Travelers: Never miss a thing and be the first to know about CXI branch promotions, travel tips and hot trends.

Currency Insider

Corporations & Financial Institutions: Want to get ahead of the curve for the upcoming week? Get CXI's currency market trend analysis sent directly to your inbox weekly.