Non-farm payrolls, the most awaited economic report, will be out on March 5 at 15:30 MT time.
Will the pound get a boost?
BOE announces its interest rate on Thursday, at 14:00 MT time.
Instruments to trade: EUR/GBP, GBP/USD, GBP/CAD, GBP/CHF
The UK is passing through one of its worst economic periods in decades. The downturn caused by the virus doesn’t get alleviated by the finally-done Brexit. Observers report that many companies are leaving London in search of a more comfortable business environment in the EU. This makes the UK economy more vulnerable from the international side while it’s struggling to keep going domestically. The last time BOE Board was voting, it decided unanimously to keep the rate steady at 0.1% - a record low. It will likely stay there as far as we can see so far, so we will be largely looking into the future impressions of the BOE in its monetary policy report rather than a rate change.
- If BOE is optimistic on the outlook, the GBP will be boosted.
- If BOE is not too optimistic, the GBP may drop.
Stock indices S&P 500 and Nasdaq are falling for seven days in a row. The New Zealand dollar skyrocketed to almost two-years highs. Fed’s Powell held a meeting yesterday and said that the central bank wouldn’t tight its easing policy anytime soon.
On Thursday, February 25, at 15:30, the initial jobless claims will be published in the US.
The giant chip maker exceeded analysts’ expectations. Even with a global GPU shortage!
OPEC will hold a meeting on March 4, where it should announce its decision on further oil output.
The risk-on is back on the market as investors focus on the projections for a stronger-than-expected economic rebound and the Fed’s pledge to prolong support for the rest of the year.