Key Headline:

• Tariffs on Mexico and Canada Progressing: Plans to implement tariffs on Mexico and Canada are moving forward, with potential economic impacts on both nations.
• Macron-Trump Talks Signal Possible Ukraine Agreement: Discussions between French President Macron and U.S. President Trump hint at a potential diplomatic resolution regarding Ukraine.

Recap

The USD gained support yesterday after President Trump confirmed that tariffs on Canada and Mexico remain on track despite a one-month delay. The U.S. plans to impose 25% tariffs on both nations. Additionally, risk-off sentiment fueled demand for the USD as a safe haven following a decline in U.S. equities. Meanwhile, French President Emmanuel Macron met with Trump at the White House, expressing confidence that a resolution on Ukraine is within reach.

Today’s Rates

Today's Interbank Rates at 09:19 am against GBP movement.

GBP>EUR – 1.2052

GBP>USD – 1.2628

EUR>GBP – 0.8296

EUR>USD – 1.0478

GBP>CAD – 1.8000

GBP>AUD – 1.9920

GBP>SEK – 13.431

GBP>AED – 4.6363

GBP>HKD – 9.8160

GBP>ZAR – 23.216

GBP>CHF – 1.1321

GBP>PLN – 4.9796

Today’s Key Takeaways

• ECB Wage Data Release: The European Central Bank publishes Q4 2024 negotiated wage rates today. A higher-than-expected figure could lead to reduced expectations for rate cuts. In Q3, wages rose 5.4% YoY, well above the ECB’s 3% target.
• US Consumer Confidence: February’s consumer confidence data is due, with forecasts pointing to a third consecutive monthly decline, potentially weighing on the USD.
• BoE Speaker in Focus: Bank of England Chief Economist Huw Pill is scheduled to speak, which may provide insights into the UK’s economic outlook.

Speeches

• USD: Fed Barr, Barkin
• EUR: ECB Centeno, Schnabel
• GBP: BoE Pill

25^th February 2025

This document has been prepared solely for information and is not intended as an Inducement concerning the purchase or sale of any financial instrument. By its nature market analysis represents the personal view of the author and no warranty can be, or is, offered as to the accuracy of any such analysis, or that predictions provided in any such analysis will prove to be correct. Should you rely on any analysis, information, or report provided as part of the Service it does so entirely at its own risk, and Frank eXchange Limited accepts no responsibility or liability for any loss or damage you may suffer as a result. Information and opinions have been obtained from sources believed to be reliable, but no representation is made as to their accuracy. No copy of this document can be taken without prior written permission