The British economy bounced back more quickly than expected in Q2 of 2014. Its GDP grew by 0.9%, compared to the forecasted 0.8%. A key rate hike from the Bank of England is therefore more and more likely, but with tame inflation figures and a real estate market that seems to be stabilizing, the pressure on Mr. Carney to act quickly is not as strong.
In China, the political authorities are facing a fifth consecutive day of pro-democracy protests in the city of Hong Kong. Already grappling with a slowing economy and a population that is aspiring to greater freedoms and a better quality of life, China is taking the management of this crisis very seriously, so that it doesn’t spread to the rest of the country.
This morning we will have Canadian GPD data (July) at 8:30 a.m., with a monthly increase of 0.3% forecasted. At 8:45 a.m. Joe Oliver, Canada’s Minister of Finance, will take part in Bloomberg’s Canadian Fixed Income Conference.
Range of the day: 1.1120 – 1.1240
Range of the next 5 days: 1.0880 – 1.1280
