Forex Weekly Round Up – 22 December 2014 – 26 December 2014

Here is our market summary for the week commencing 22 December 2014.

Financial services firm EY, reported more of the UK’s largest listed companies issued profit warnings than in any year since the financial crisis. During the 12 months to mid-December 2014, 87 profit warnings were issued by FTSE350 companies – 12 more than in 2013. On Tuesday The Bank of England’s financial policy committe said it was worried the fall in crude prices would drive the Eurozone closer to deflation. On Wednesday figures were released showing GDP grew by 0.7pc in July – September, slowing slightly from 0.8pc between April – June.

On Monday the Dollar matched a two-year high against the Euro. This came amid speculation the Federal Reserve will increase interest rates as early as April 2015. On Tuesday we learned the US housing market recovery is beginning to look shaky. After two months of increases, sales of existing homes fell to a six-month low in November. Orders for US durable goods unexpectedly declined in November as investment became static and there was weaker demand for military goods.