There was a month end feel to the pattern of trading yesterday. Sterling found some strength towards the end of the European session, although in comparison to the losses seen over the past four weeks, the moves at best represented a “dead-cat bounce” at best. Data released yesterday showed that overseas investors sold UK government bonds (Gilts) by the biggest amount since March 2014. This fits with the de-coupling of sterling from rate differentials that was seen during the month (see “Will Brexit Break Sterling”). There could be more of this to come, depending how the polls go between now and the referendum in June. At present, they are not giving a decisive view one way or the other, hence the continued prevailing uncertainty. The timing of the PBOC’s cut in the RRR (required reserve ratio) yesterday was interesting, coming the weekend after the G20 meeting. Make of that what you will. For today, there is the usual hand-waving at the China PMI data, with the manufacturing data seeing the seventh consecutive decline (from 48.4 to 48.0). The reaction in equities and elsewhere was muted, perhaps because we are now seeing a policy reaction from the Chinese authorities, so we’ve seeing the Aussie recover and equities reversing most of the losses seen through yesterday. Aussie rates were kept on hold after the interest rate meeting today, with the accompanying statement acknowledging that the domestic and global environment were likely to keep inflation low over the next two years. They re-iterated that “Continued low inflation would provide scope for easier policy, should that be appropriate to lend support to demand”. The market continues to price in some risk of a cut in rates later this year, although this is not yet fully priced for the year as a whole. We have more PMI data in the Eurozone up to 09:00 GMT, with UK data at 09:30 GMT and then ISM manufacturing (the US PMI equivalent at 15:00 GMT). Further reading: Aussie sees glass half full – ignores Chinese worries EUR: The Other Brexit Trade; Shorts Attractive – Credit Agricole FxPro - Forex Broker FxPro - Forex Broker Forex Broker FxPro is an international Forex Broker. FxPro is an award-winning online broker, offering CFDs on forex, futures, indices, shares, spot metals and energies, serving clients in more than 150 countries worldwide. FxPro offers execution with no-dealing-desk intervention and maintains a client-centric business model that puts customer needs at the forefront of our operations. Our acquisition of leading spot FX aggregator, Quotix, enables us to offer access to a deep pool of liquidity, as well as top-class order-matching and some of the most competitive spreads in the market. FxPro is one of only few brokers offering Negative Balance Protection, ensuring that clients cannot lose more than their overall investment. FxPro UK Limited is authorised and regulated by the Financial Conduct Authority (registration number: 509956). FxPro Financial Services Limited is authorised and regulated by the Cyprus Securities and Exchange Commission (licence number: 078/07) and by the South Africa Financial Services Board (authorisation number 45052). Risk Warning: Trading CFDs involves significant risk of loss. View All Post By FxPro - Forex Broker Daily Look share Read Next EURUSD , USDJPY , GBPUSD and XAUUSD TA – March 1 2016 John Benjamin 7 years There was a month end feel to the pattern of trading yesterday. Sterling found some strength towards the end of the European session, although in comparison to the losses seen over the past four weeks, the moves at best represented a "dead-cat bounce" at best. Data released yesterday showed that overseas investors sold UK government bonds (Gilts) by the biggest amount since March 2014. This fits with the de-coupling of sterling from rate differentials that was seen during the month (see "Will Brexit Break Sterling"). There could be more of this to come, depending how the polls go between now… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk.4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk.5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.