Monday 24/03/2025
Daily Update 24/03/2025
Key Headlines:
- Tariff Relief: Market concerns ease as tariff-related fears subside.
- Key UK Events: A pivotal week ahead with the upcoming budget announcement and inflation data release.
Recap
Over the weekend, reports indicated that the Trump administration is shifting towards a more selective approach to tariffs, with certain countries potentially receiving exemptions. The overall scope of the tariffs is now expected to be more limited than originally proposed.
Today’s Rates
Today's Interbank Rates at 10:16 am against GBP movement.
GBP>EUR – 1.1957
GBP>USD – 1.2967
EUR>GBP – 0.8361
EUR>USD – 1.0844
GBP>CAD – 1.8575
GBP>AUD – 2.0577
GBP>SEK – 13.090
GBP>AED – 4.7624
GBP>HKD – 10.079
GBP>ZAR – 23.534
GBP>CHF – 1.1428
GBP>PLN – 5.0003
Today’s Key Takeaways
- Tariff Developments: Markets are closely watching the approach of "US Liberation Day" on April 2nd, with news of more targeted tariffs improving risk sentiment.
- PMI Data in Focus: Key PMI figures from Europe, the UK, and the US will be scrutinized for signs of economic strength, which could influence rate cut expectations—particularly for the ECB, where markets currently price in a 60% chance of an April cut.
- Big Week for the UK: CPI data, the Spring Budget, and retail sales will shape the outlook for GBP. Inflation is expected to slow, while the budget is unlikely to deliver surprises, with the OBR set to downgrade productivity forecasts. This could make for a volatile week for sterling.
24th March 2025
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