Aside from Eurozone inflation and GDP figures mentioned in yesterday's report, Monday was a fairly quiet day for data, with the only major other release being US PMI data. The Chicago Purchasing Managers index showed 45.2, slightly below the consensus of 47.
The morning data which also included UK mortgage approvals which were pretty much in line with consensus did weigh on the pound and Euro slightly. This coupled with the pondering of whether the BOE will continue to raise rates quickly, starting with Thursday's MPC meeting saw the pound fall from around 1.1630 on Friday to 1.1459 in the mid-afternoon on Monday.
The Euro fell below 0.99 and bottomed out at 0.9876, however, both the pound and Euro have found some support and slight recovery and currently reside at 1.1512 and 0.9915 respectively.
The main data releases today come from the US, where we see Manufacturing PMI for October and is forecast to show a flat 50 reading, Anything above this number represents growth and anything below contraction.
Greece is finally producing some positive growth news, with forecasts suggesting 6% growth for 2022. Greece was one of the Eurozone members who saw the biggest financial challenges from the 2008 financial crisis, with GDP still at 25% below its pre-2008 figure. In 2010 the revised figure for Greece was at 13.6% contraction.
Strict Covid controls still in place in China were partly to blame for factory and services activity showing contraction in October. With the controls still in place, there are signs that the worst is yet to come for the world's second-largest economy.
