The Week Ahead – 19th June 2023

The trading week in the United States will be shorter due to the Juneteenth national holiday. This week, the focus will be on currency pairs that involve the pound sterling due to the release of inflation and consumer sentiment reports out of the UK. The Bank of England will also announce its decision on interest rates on Thursday. For traders of currency pairs involving the euro, there could be increased volatility when the consumer sentiment reports are released.

Experts have estimated that the Bank of England will increase their interest rates by 25 basis points. However, the remarks made recently suggest that the rates may have to remain high for a more extended period of time. This will cause the instructions given by the Bank to trigger changes in prices.

GBP Currency Pairs Value Affected By Economic Data Report

Following the 25 basis point increase in Eurozone interest rates by the ECB, those who trade euro pairs will need to wait until the week's conclusion for data releases that could influence prices. Reports on consumer sentiment and PMI for the Eurozone and significant nations will be published on Thursday and Friday.

EUR Currency Pairs Impacted By Economic Data Report

The upcoming Juneteenth holiday will lead to the closure of markets, thus making it a peaceful week with lesser US data releases. The significant report to look out for is Jerome Powell's testimony that comes out on Thursday. The release can offer more insight on the interest rate policies the US Fed will use in the next months.

US Stock Value May Shift With Economic Data Report

Warning: Engaging in the trade of financial products poses a significant danger to your invested funds, particularly when dealing with leveraged products like CFDs. Not everyone may be able to handle such risks, so it is imperative that you fully comprehend the hazards involved. Before participating, evaluate if you have sufficient resources to afford the possibility of losing your investments.