British Pound
A better day for GBP as Sterling clawed back almost half of its losses from earlier in the week. Following Federal Reserve Chair Powell’s comments on higher for longer US interest rates on Tuesday, the USD strengthened sharply at the expense of all currencies and was then evidenced by a sickly looking GBP. GBP/USD 1.1920.
US Jobless Claims
With yesterday’s Weekly Jobless Claims in the US coming in at 211,000 pretty much as expected, markets transferred their attention to today’s Payroll Number. However the market is mindful that yesterday’s release was the highest since October 2022. 2 Year US Treasury Bond yields dropped 9bps to 4.98% on fears that the labour market is showing an early sign of weakness. In reality, the data is unclear. EUR/USD 1.0570.
BMW
A shot in the arm for the beleaguered British car industry (for a change) with news yesterday that BMW is to invest GBP600 million in its Mini plant in Oxford in anticipation for the future build of electric powered Minis. All Minis will be electric by 2030. GBP/EUR 1.1270.
La Tour d’Argent
Those who have not had the good fortune to dine at this Michelin starred Paris restaurant offering one of the best views on Earth should stick it on their bucket list. Opened in 1582 as an inn offering accommodation to travelling noblemen and given its own crest by Henry IV, its claim to fame is that it was the first place in 16th century France that provided forks to eat with. Presumably the clientele were using their forks for grooming facial hair prior to this gastronomic epiphany.
A Taste of Honey
Recently departed and much mourned Herb Alpert and the Tijuana Brass together with some members of the band, Wrecking Crew best known for backing the Beach Boys recorded this hit which spent 5 weeks at Number One before going on to win a Grammy and become a legendary standard;
Winds may blow over the icy sea
I’ll take with me the warmth of thee
A taste of honey
A taste much sweeter than wine
I will return
I’ll return
I’ll come back for the honey and you
I’ll leave behind my heart to wear
And may it e’er remind you of
A taste of honey
A taste much sweeter than wine
I will return
I’ll return
I’ll come back for the honey and you
He ne’er came back to his love so fair
And so she died dreaming of his kiss
His kiss of honey
A taste more bitter than wine
I will return
I will return
I’ll come back for the honey and you I’ll come back for the honey and you
Have A Great Weekend!
Discussion and Analysis by Humphrey Percy, Chairman and Founder
Click Here to Subscribe to the SGM-FX Newsletter
Related Insights
Morning Brief – US Interest Rates
Humphrey Percy
Mon 25 Sep 2023
US Interest Rates Nothing much new over the weekend other than while sifting thought the tea leaves from last week, we found that not one but two members of the FOMC, the rate setting and policy making committee of the Federal Reserve, advocated US interest rates staying higher for longer to crush inflation. Within their […]
Morning Brief – A revised 2024
Charles Porter
Thu 21 Sep 2023
A revised 2024 The Dollar opens stronger this morning following the Federal Reserve’s decision last night. The decision confirmed interest rates were to stay on hold following this meeting. As we have highlighted following previous decisions, the forward guidance offered by the Chair Jay Powell was once again underwhelming. However, the Dollar’s bid this morning […]
Morning Brief – Dot dot dot
Charles Porter
Tue 19 Sep 2023
Dot dot dot With the Federal Reserve’s interest rate decision looming large tomorrow, there is a significant risk that the Fed will fail to communicate sufficiently. Recently Powell and his fellow US rate setters have been reluctant to commit verbally to how they see the outlook for near term interest rates. Simultaneously, they have also […]
