To start the morning off Q4 GDP YoY for the UK came in at 6.6% vs expectations of 6.5% boosting the pound against both the euro and dollar.

In December, the world's largest cryptocurrency exchange, Binance, announced that it would establish an advisory body in Dubai. CEO Changpeng Zhao, who was recently ranked as one of the world's richest people, shared a photo of himself wearing an Emirati robe.

Sterling edged higher versus the euro this morning, with investors focusing on the Bank of England’s next moves to tame inflation while avoiding recession risks.

Standstill. That’s one way to explain the currency market over the past day. UK PMI data came out positive except that of manufacturing PMI.

UK Inflation hit 6.2%, a 30 year high. The main contributors to inflation rising were a surge in prices of Fuel and food. Household Energy bills have increased by 25% by a year ago and forecasts suggest inflation is on the path to hitting 10% in the coming months.

Uncertainty. If there’s one word to describe the sentiment of FX and global asset markets right now that is it.

A quick recap of last week. We saw the Fed raise rates to 0.5% and the Bank of England follow suit raising rates to 0.75% both events widely anticipated by markets and priced in.

This week we have seen markets show their full strength as we saw both the Fed and the BoE hike rates by 0.25% in attempts to battle inflation in both economies. Yesterday we say the Bank of England hike rates by 25 bps with an overall official vote of 8-1, in favour of the hike and the 1 official in favour of an unchanged rate for the bank.