Daily Brief – US Dollar

If you are reading this, you might be contemplating doing some FX business in the Twixtmas period- SGM-FX is open 27+30+31 December and ready to help.

US Dollar

As we approach 2025 it is still a USD story in currency markets with just 35bps of interest rate cuts in the USA pencilled in for the whole year. Clear water then between Europe which is expecting 100bps of cuts in EUR rates and the USA with consequent strength in USD.

EUR/USD 1.0397

Global Exporters

The total of all global exports is $23.8 trillion and as ever the 80/20 rule prevails with the top 30 exporting countries accounting for 80% or $19.7 trillion. If one adds Canada and Mexico to the USA’s $2.2 trillion the total comes almost exactly to China’s $3.38 trillion. The next largest is Germany at $1.69 trillion. The UK is somewhat less at $521 billion, less than France with $648 billion and almost the same as…Belgium . These comparatives help to explain the number of column inches dedicated to each country’s exports and just might clinch that pub quiz for you .

GBP/USD 1.2531

Too Much

This day in 1997 Girl Power in the shapes of the Spice Girls scored their second consecutive Christmas Number One single with this number. There’s more-a lot more- but I will spare you as this is more than enough of Too Much:

Love is blind, as far as the eye can see
Deep and meaningless, words to me
Easy lover, I need a friend
Road to nowhere, twist and turns but will this never end
Well my dear you’ll know that he pleases me (eases me)
But short term solution ain’t no resolution
There ain’t no release for me

Too much of something is bad enough
But something’s coming over me to make me wonder (ooh)
Too much of nothing is just as tough
I need to know the way to feel to keep me satisfied (ooh)

Unwrap yourself from around my finger
Hold me too tight or left to linger
Something fine built to last
Slipped up there I guess we’re running out of time too fast
Yes my dear you know he soothes me (moves me)
There’s no complication there’s no explanation
It’s just a groove in me

Have a Great Weekend!

Discussion and Analysis by Humphrey Percy, Chairman and Founder

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