The Dollar continued to find strength again yesterday after a spell of pressure over last weekend. Speculation continues to surround a potentially early interest rate hike from the Federal Reserve as Central Bank commentary and better than expected data drive market positivity.
Downward pressure on the Euro continues as the situation in Greece starts to becomes more urgent. Greek leaders are running out of options to keep their country in the green and just recently Greek Prime Minister Tsipras issued a decree ordering state bodies to move their funds to the central bank to ensure short term needs are met.
The UK election will continue to dominate headlines until the result is announced. A Tory minority at the moment is the favourite outcome according to the bookies who have been historically accurate in predicting these types of results. However, this is the tightest General Election of a lifetime and the closer we get to May 7th, the more Sterling will feel the pressure of uncertain market participants.
Today’s docket is relatively light, we have the official interest rate and asset purchase facility voting minutes released from the Bank of England this morning. In the afternoon, the US will release their existing home sales figure, forecast to rise to 5.04M and crude oil inventories will follow shortly after.