Pound (GBP)
The release of the UK’s latest PMIs will likely be the primary focus for GBP investors this week. Expect to see the pound (GBP) strengthen if July’s preliminary index reports service sector activity started to accelerate again.
Euro (EUR)
The Eurozone’s latest PMIs may also act as the main catalyst of movement for the euro (EUR) this week. The single currency may firm if this month’s preliminary figures report growth in the bloc’s private sector began to improve.
US dollar (USD)
This week sees the publication of the latest US GDP figures. Analysts are predicting this will report an acceleration of US economic growth in the second quarter, which could help to bolster the US dollar (USD) this week.
Australian dollar (AUD)
For AUD investors, the only economic release of note this week will be Australia’s own PMIs, with the Australian dollar (AUD) poised to fall if they report another slowdown in Australian private sector growth in July.
South African rand (ZAR)
The South African rand (ZAR) may come under pressure this week as an expected slowdown in domestic inflation is likely to stoke bets the South African Reserve Bank (SARB) will start cutting interest rates in September.
Canadian dollar (CAD)
The Bank of Canada (BoC) is widely expected to deliver an interest rate cut when it concludes its latest policy meeting later this week. Expect to see the Canadian dollar (CAD) weaken in response, particularly if the bank signals more cuts are to come.
New Zealand dollar (NZD)
In the absence of any notable domestic data, movement in the New Zealand dollar (NZD) is likely to be tied to market risk dynamics this week. Will a cautious mood see investors shy away from the ‘kiwi’?