Daily Wrap Up – 17 July

Asian stocks rose today to their highest level in two years, supported by the unexpected growth of the Chinese economy. Chinese stocks managed to erase their sharp losses at the start of trading after data showed the growth of the second largest economy in the world slightly stronger than expected at 6.9% This is due to strong industrial production, which recorded the highest rise since April 2016, as well as retail sales and exports.

The British pound fell from the highest level since September 22, 2016 at 1.3112, and is approaching the support level at 1.3040 as the first day of the UK exit negotiations starts in Brussels after the British vote in June 2016 to leave the Union.

Inflation in the euro area stabilized in June, with the CPI up 1.3% in line with expectations and matching the initial reading of the index released earlier this month, bringing the euro to reach its highest level since last Friday at 1.1486.