Main market news on September 23
The US dollar has broken through the key resistance, it failed to cross since March so far. Riskier assets are dipping. Let’s discuss it in detail.
British consumers spend more due to higher clothing and food prices
In September, UK shoppers stepped up their spending at the fastest pace this year, excluding an Easter-related soar in April. However, much of the ascend actually reflects higher prices for clothing and food after the Brexit vote, as a poll disclosed.
Retail sales inched up by 1.9% on alike-for-like basis stripping out changes in store size, as the British Retail Consortium informed, up from 1.6% in August.
The leap follows other signs, which UK consumers are adapting to the soar in inflation caused in large part by the decline in the value of the UK currency after the Brexet vote to take the UK out of the European Union in June last year.
The Bank of England that has already hinted it’s already approaching its first rate lift in a decade, is actually expecting a jump in spending.
As the BRC told, in August, growth in total sales the previous month slowed modestly to about 2.3% from 2.4% percent, although was still stronger than in most months so far in 2017.
Similar
Will the pound keep standing?
Services and Manufacturing PMIs are out on Wednesday at 11:30 MT time.
Main market movements on September 22
The market sentiment remains risk-off amid rising virus cases around the world and fears over new restrictions and lockdowns.
Latest news
US Federal Judge stopped TikTok's ban
China's industrial rebound, progress in US fiscal stimulus and other important news in this article.
US stimulus package improved sentiment
The market sentiment is mixed as investors weigh US stimulus package against the rising infections and worse-than-expected US unemployment claims. Jump in for fresh analysis of EUR/USD, USD/JPY, S&P 500 and gold!
The US weekly labor data is out!
US Initial jobless claims will be announced on Thursday at 15:30 MT time.
Deposit with your local payment systems
