Australia – Westpac Consumer Confidence (July)
Actual: 0.6% | Previous: 0.5%
Released early this morning, Australia’s Westpac Consumer Confidence saw a slight increase, rising from 0.5% to 0.6%. While no forecast was provided, this positive surprise reflects growing optimism among consumers. Increased confidence typically supports consumer spending and broader economic growth, which may offer some upside momentum for the Australian Dollar.
China – GDP Growth Rate YoY (Q2)
Actual: 5.2% | Forecast: 5.1% | Previous: 5.4%
China’s economy grew slightly more than expected in Q2, with GDP coming in at 5.2% against a 5.1% forecast. Despite beating estimates, this still represents a slowdown from Q1, suggesting a cooling economy—especially in employment and consumption. While the Yuan may face some pressure, the fact that markets had already priced in a lower figure could limit any significant downside.
China – Retail Sales YoY (June)
Actual: 4.8% | Forecast: 5.6% | Previous: 6.4%
Retail Sales came in well below expectations, signalling weaker domestic demand and slowing consumer spending. This disappointing release could add to concerns about China’s economic momentum and may result in short-term softness in the Yuan.
Germany – ZEW Economic Sentiment (July)
Due: 10:00am | Forecast: 50 | Previous: 47.5
Markets are awaiting the latest ZEW Sentiment Index, a forward-looking indicator of economic optimism in the Eurozone’s largest economy. A rise to 50 would be viewed positively and may strengthen the Euro, reflecting improved outlooks from investors and institutions.
United States – Inflation Rate MoM & YoY (June)
Due: 1:30pm
- MoM Forecast: 0.3% | Previous: 0.1%
- YoY Forecast: 2.7% | Previous: 2.4%
U.S. inflation is expected to rise on both a monthly and annual basis. Higher inflation erodes purchasing power and can complicate the Federal Reserve’s interest rate decisions. As a result, Dollar weakness may follow if markets interpret this as a sign of delayed rate cuts or sticky inflation.
Canada – Inflation Rate YoY (June)
Due: 1:30pm | Forecast: 1.9% | Previous: 1.7%
Canadian inflation is also expected to rise slightly. Although moderate, this increase may be seen as a negative for the Canadian Dollar as it reflects reduced purchasing power and could limit consumer spending going forward.
Summary
Today’s data paints a mixed picture:
- AUD may see gains from improved consumer confidence.
- CNY faces pressure due to slower growth and weak retail figures.
- EUR strength is likely if ZEW sentiment meets or exceeds expectations.
- USD and CAD could soften amid higher inflation concerns.
Stay tuned as the day unfolds—key data this afternoon could drive significant market movements. For tailored currency strategies, speak with your dedicated account manager at Currencies 4 You.
GBP/EUR 1.1493 GBP/USD 1.3440 GBP/AED 4.9381
GBP/AUD 2.0470 GBP/CHF 1.0694 GBP/CAD 1.8397
GBP/NZD 2.2420 EUR/USD 1.1678 GBP/ZAR 23.9174