Sterling started the day poorly against the euro as softer UK Nationwide house price data was released on top of an increased positive outlook in the Euro zone. The manufacturing Purchasing Managers Index [PMI] for China came in much better than expected boosting public opinion of a more stable global economy as a whole. The more positive outlook resulted in sterling strengthening against the US dollar and the Japanese yen as risk appetite drove the market. The risk of a double dip recession in the UK appears to have eased with UK manufacturing PMI coming in much better than expected reaching an 8 month high. Today we wait and see if the release of construction PMI data mirrors the positive manufacturing PMI data released yesterday. Call in now for the latest update and the latest news.

The euro pushed higher yesterday on the back of better than expected manufacturing PMI data released across Europe and China; moreover, solid Euro zone bond auctions eased the negative sentiment towards the Euro zone and Portugal in particular. Furthermore, the Greek Finance Minister stated that the debt agreement with private investors is only "one step" away and the Greek Prime Minister is seeking backing from political leaders for more austerity measures calming the market. Today, there is little data out in the Euro zone so the focus will remain firmly on Greece and EU Economic Summit. Call in now for the latest update and the latest news.

The US dollar reversed earlier gains as the markets took comfort in the solid manufacturing data released in China and the Euro zone. Worse than expected data released in the form of non-farm pay roll and manufacturing PMI reiterated the feeling that the US road to economic recovery will be a long one. Out today we see a lot of data released including unemployment claims and the Federal Reserve Chairman is also speaking. Call in now for the latest update and the latest news.

Elsewhere, the New Zealand dollar and Australian dollar performed well yesterday with increased risk appetite driving in the market. Swiss retail sales and their PMI came in worse than expected and the Japanese Finance Minister repeated that he is watching the currency market closely, so keep an eye out for any action taken to devalue the Yen. Out today we see the release of trade balance values released for both Switzerland and Australia. Call in now for the latest update and the latest news.

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