UK unemployment to edge closer to guidance
City Index January 22, 2014 1:49 PM
<p>The main data in focus today is from the UK, with votes shown for the bank rate and assert purchases. No surprises are expected here, […]</p>
The main data in focus today is from the UK, with votes shown for the bank rate and assert purchases. No surprises are expected here, with 0-0-9 for both.
The unemployment rate is due out at the same time and is expected to carry on the drop to 7.3%, edging that bit closer to the forward guidance number of 7% before interest rates are considered to be increased.
It’s also worth keeping in mind that in a few weeks we’ll get the inflation report from Carney and many are now expecting a change in guidance, especially the unemployment rate.
The AUD was the big mover overnight after it finally found some positive news coming from better than expected inflation data. This helped it to rally, with interest rate cut bets off the table.
The RBA are still adamant in their ways, however, and would like a lower AUD rate so this rally still could be short-lived.
After their two-day meeting, the BoJ has announced that it’s still upbeat on the view of the economy and has left the policy unchanged.
Supports 1.3545 1.3500 1.3450 | Resistance 1.3585 1.3600 1.3635
Supports 104.00 103.85 103.50 | Resistance 104.60 104.95 105.50
Supports 1.6450 1.6385 1.6310 | Resistance 1.6400 1.6520 1.6570