Daily Currency Update
The UK's annual Consumer Price Index (CPI) rose to 3.5% in April, up from 2.6% in March and surpassing the 3.3% forecast. This marks the highest inflation rate since January 2024. Core CPI, which excludes volatile items like food and energy, increased to 3.8%, exceeding both the previous month's 3.4% and the anticipated 3.6%. Following the release of the inflation data, the British pound strengthened to a three-year high against the US dollar, reaching 1.347.
Key Movers
Later today, Federal Reserve Bank senior officials John Williams and Tom Barkin are scheduled to speak, providing insights into US monetary policy. Additionally, European Central Bank officials, including Luis de Guindos and Frank Elderson, are expected to discuss inflation, economic growth in the European Union, and future monetary policies. These speeches may influence market expectations and currency movements.
Expected Ranges
- GBP/USD: 1.3350 - 1.3420 ▲
- GBP/EUR: 1.1830 - 1.1870 ▲
- GBP/AUD: 2.0790 - 2.0810 ▲
- EUR/USD: 1.130 - 1.1360 ▲