Wise money awaits banks’ central banks interest rates decisions

Hopes that the U.K. will avoid a triple-dip recession were dealt another blow yesterday as UK Construction figures released showed that the sector contracted again in March, although there is ultimately a brighter picture with confidence levels increasing.Wise money awaits banks' central banks interest rates decisionsToday, we have the all important Services PMI figure expected to come in at 51.5 for another month of growth for the sector but also the BoE interest rate decision that is expected to remain on hold although the QE decision will be more widely watched as the U.K. economy mulls on the question.

Is it time to restart the printing presses? With Sir Mervyn King keen to ease monetary policy further it will be interesting to see if he can convince the other MPC members that now is the time .

In the USA Initial Jobless claims today should paint a continually bright picture for US employment with the figure expected to show a marginal fall against last month.

However, the markets will be waiting for tomorrow’s Non-Farm Payroll figure for further economic direction although the outlook was slashed yesterday after the initial ADP Nonfarm number came in grossly under estimate at 158k versus 200k expected.

The ISM Non-Manufacturing figure yesterday also disappointed coming in at 54.4 vs 55.8 expected.

 The stability in the eurozone was hit again yesterday with inflation continuing to fall in the currency bloc to a 31 month low of 1.7%.

The ECB interest rate decision this afternoon is expected to remain on hold although with inflation continuing to fall many economist believe there could be calls for a further rate cut in the near future.

Markets will be watching Magic Mario Draghi’s press conference in the afternoon for further details regarding the Cyprus bailout and how the ECB will react to any future bailouts.

In other news this morning, the BoJ kept rates on hold at 0.1% and has successfully weakened its currency again as it said it will qualitatively and quantitatively ease.

This has put a spur into the market with GBP/EUR coming under early pressure heading towards 1.17, EUR/USD clinging above 1.28 for the second day and GBP/USD has continued its decline as it struggles to stay above 1.50.

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