Forex Weekly Round Up 21 September 2015 – 25 September 2015

On Monday the headlines were dominated by news on the Greek election, with Alexis Tsipras set to return to power following another emphatic election victory, securing a new mandate after he yielded to the demands of European leaders for more austerity in the crisis-hit country.

The former prime minister’s Coalition of the Radical Left, or Syriza, received 35.5% of the vote, according to an official projection by the Interior Ministry based on more than half of votes counted.

George Osbourne made a speech in Shanghai proclaiming that he wanted to create a link in the UK’s and China’s stock markets. He announced a “landmark feasibility study” into the idea, which would enable Chinese and British shares to be traded in both countries.

The Eurozone economy expanded in September, continuing a year of robust growth, according to survey figures released yesterday. Markit’s flash purchasing managers’ index (PMI) scored 53.9 for this month, down slightly from August but still above the 50 score that implies growth and in line with economic growth.

On Thursday evening, Federal Reserve chair Janet Yellen again reiterated that the US is on course to raise interest rates this year.

Speaking a week after the Fed voted against a rise in borrowing costs, she said inflation is being weighed down by temporary factors such as a strong dollar and low oil prices.

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