The US personal income and spending releases were marginally weaker than expected on Friday which did not have a major impact while there was a subdued reading for the core PCE defoliator.
There was a small gain in the Chicago PMI index to 53.0 from 53.3 previously and an upward revision to the final University of Michigan consumer confidence index which had some positive dollar impact. Expectations of at least a measured tapering were important in sustaining US currency yield support.
Short-term strategy highlights
Sterling can maintain a firm tone initially with higher bond yields, but overall valuations are unattractive at current levels
Medium-term strategy highlights
The dollar should be able to maintain a solid overall tone given expectations of a solid payroll release at the end of this week.
Subscribe to our mailing list to get the updates to your email inbox... We can't wait more to have your email in our subscribers email list. Just put your nice email in below box: