UK CPI/RPI/PPI data all due to be released at 08.30 GMT 17 May 2016
It's been all about Brexit lately and will indeed continue to be for some time yet but this morning attention turns to UK inflation data.
Eamonn had this preview earlier and I would only add that the key area for me is whether the stronger March data was an Easter-based aberration or more sustainable.
We've seen some strong GBP demand in Asia triggered by yen selling and stops on cable/EURGBP. A strong reading now will see the pound demand extended while a soft number will bring a retreat into which I expect to see renewed buying for the moment.
Currently 1.4518 strong sell levels between 1.4530-50. EURGBP 0.7803 as strong demand nearby between 0.7780-.7800. GBPJPY 158.89 having tested 159.00 offers/res and will have demand now into 158.50 and 158.00.
As well as the strong GBP sell interest nearby we have to keep an eye on oil and equities to monitor yen/risk sentiment
Ultimately the recent moves are not about data but we can expect some knee-jerk if the readings are wide of the mark.
