Market Focus

On Tuesday, January 30, 2018, it is worth paying attention to preliminary data on the Eurozone’s GDP. Gross Domestic Product (GDP) is a general indicator of economic activity and is a key indicator of the health of the economy.

According to the forecast, the GDP index kept growth in the 4th quarter at 0.6%. On an annualized basis, the growth slowed to 2.5%, against the previous level of 2.6%. The release of data within the forecast can put some pressure on the single currency and there may be a decline in the euro within 30 points against the competitors.

Also, tonight will be a speech of the Chairman of the Bank of England Carney. February 8 will be the meeting of the Bank of England, during which it will be decided whether to change the interest rate. So during today’s speech any hints about a possible change in the interest rate will support the pound. In the event that Carney’s remarks are restrained and point to uncertainty about the interest rate hike, one should expect a decline in the British currency.

Alexander Sivtsov