FintechZoom Microsoft (MSFT) Stock: Comprehensive Analysis

Economic

Summary:

Explore FintechZoom's in-depth coverage of Microsoft (MSFT) stock, featuring real-time data, detailed financial analysis, advanced charting tools, and expert insights to help investors make informed decisions.

In the fast-paced world of stock trading, staying informed and making data-driven decisions is crucial for success. FintechZoom, a leading fintech platform, has become a trusted source for investors seeking in-depth analysis and real-time updates on various stocks, including Microsoft (MSFT). This article delves into FintechZoom's coverage of MSFT stock, exploring the platform's features, insights, and how it empowers investors to make informed decisions.

Microsoft (MSFT) Stock: An Overview

Microsoft Corporation, a technology giant founded by Bill Gates and Paul Allen in 1975, has been a cornerstone of the tech industry for decades. Known for its innovative products and services, including the Windows operating system, Office suite, and Azure cloud platform, Microsoft has consistently delivered strong financial performance and growth.

MSFT Stock Performance

Microsoft's stock (MSFT) has been a favorite among investors due to its robust growth, consistent dividends, and market leadership. Over the years, MSFT has shown resilience and adaptability, navigating market fluctuations and technological advancements. The company's commitment to innovation, strategic acquisitions, and expansion into cloud computing have contributed to its impressive stock performance.

Key Factors Influencing MSFT Stock

Financial Performance: Microsoft's quarterly earnings reports are closely watched by investors. Strong revenue growth, profitability, and positive guidance often drive MSFT stock higher.

Product Launches and Innovations: New product releases, software updates, and technological breakthroughs can significantly impact MSFT stock. Innovations in artificial intelligence, cloud computing, and other emerging technologies are particularly influential.

Market Trends and Competition: The tech industry is highly competitive, and Microsoft's performance relative to its peers, such as Apple, Amazon, and Google, can affect its stock price. Market trends, regulatory changes, and macroeconomic factors also play a role.

Investor Sentiment: Market sentiment, driven by news, analyst ratings, and investor perceptions, can cause fluctuations in MSFT stock. Positive news and analyst upgrades often lead to stock price appreciation, while negative sentiment can result in declines.

FintechZoom's Comprehensive Coverage of MSFT Stock

FintechZoom has established itself as a go-to platform for investors seeking detailed information and analysis on MSFT stock. The platform offers a range of features and tools designed to provide investors with a comprehensive understanding of Microsoft's performance and potential.

Key Features of FintechZoom's MSFT Stock Coverage

Real-Time Data and Updates: FintechZoom provides real-time stock quotes, price charts, and news updates for MSFT. Investors can stay informed about the latest developments and market movements.

In-Depth Analysis: The platform offers detailed analysis of Microsoft's financial performance, including earnings reports, revenue growth, profit margins, and key financial metrics. Expert insights and commentary help investors interpret the data and make informed decisions.

Technical Indicators and Charting Tools: FintechZoom's advanced charting tools and technical indicators enable investors to analyze MSFT stock trends, identify patterns, and develop trading strategies. Customizable charts and indicators provide a visual representation of market data.

Historical Data and Performance Metrics: Investors can access historical data and performance metrics for MSFT stock, allowing them to track long-term trends and assess the stock's performance over time. This historical perspective is valuable for making strategic investment decisions.

Market Sentiment and News Analysis: FintechZoom aggregates news articles, analyst ratings, and social media sentiment related to MSFT stock. This comprehensive news analysis helps investors gauge market sentiment and understand the factors influencing Microsoft's stock price.

The Impact of FastBull on FintechZoom's MSFT Stock Analysis

FastBull, a fintech platform known for its real-time market signals and in-depth analysis, enhances FintechZoom's coverage of MSFT stock. By integrating FastBull's expertise and tools, FintechZoom provides investors with even more valuable insights and trading strategies.

FastBull's Contribution to FintechZoom's MSFT Stock Coverage

Real-Time Market Signals: FastBull offers timely market signals based on comprehensive analysis. These signals alert investors to potential trading opportunities and significant market movements related to MSFT stock.

Expert Analysis and Reports: FastBull provides detailed market reports and expert opinions on Microsoft's performance, competitive positioning, and future prospects. This analysis helps investors understand the broader context and make informed decisions.

Trading Strategies: FastBull offers various trading strategies tailored to different market conditions. These strategies, based on technical analysis and market trends, can be valuable for investors trading MSFT stock on FintechZoom.

Integration and Synergy

The integration of FastBull's real-time signals and expert analysis with FintechZoom's comprehensive data and tools creates a powerful ecosystem for MSFT stock investors. This synergy enables investors to leverage both platforms' strengths, enhancing their ability to make informed and strategic investment decisions.

Conclusion

Microsoft (MSFT) stock remains a cornerstone investment for many due to the company's market leadership, innovation, and financial strength. FintechZoom's detailed coverage of MSFT stock, combined with FastBull's real-time signals and analysis, provides investors with a comprehensive toolkit for navigating the complexities of the stock market.

By offering real-time data, in-depth analysis, advanced charting tools, and expert insights, FintechZoom empowers investors to stay informed and make data-driven decisions. The addition of FastBull's market signals and trading strategies further enhances this capability, creating a robust platform for MSFT stock investors.

As the financial markets continue to evolve, the collaboration between FintechZoom and FastBull exemplifies the potential of fintech platforms to revolutionize stock trading and investment. With these tools at their disposal, investors are better equipped to navigate market fluctuations, capitalize on opportunities, and achieve their financial goals.

To stay updated on all economic events of today, please check out our Economic calendar

Risk Warnings and Disclaimers

You understand and acknowledge that there is a high degree of risk involved in trading. Following any strategies or investment methods may lead to potential losses. The content on the site is provided by our contributors and analysts for information purposes only. You are solely responsible for determining whether any trading assets, securities, strategy, or any other product is suitable for investing based on your own investment objectives and financial situation.

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Glendon

Economic

Cardano (ADA) has been on a rollercoaster ride this year, and predicting its short-term price movements can feel like throwing darts blindfolded. But fear not, fellow crypto enthusiasts! This comprehensive analysis will cut through the noise and give you a clear picture of what to expect for ADA this week.

The Big Picture: Market on Hold

The broader cryptocurrency market is currently stuck in a wait-and-see mode. Bitcoin, the trendsetter, is hovering around $20,000, with some analysts predicting a short-term bounce and others bracing for continued sideways movement. This overall uncertainty casts a long shadow on ADA's immediate price prediction.

Cardano's Stalemate: Stuck Between $0.40 and $0.45

Cardano has been mirroring the market's indecisiveness, trading in a tight range between $0.40 and $0.45 this week. This lack of volatility suggests a tug-of-war between buyers and sellers, with neither side able to gain the upper hand.

Technical Indicators: Decoding the Chart's Secrets

While not a magic crystal ball, technical indicators can offer clues about potential price movements. Here's a quick breakdown of Cardano's chart:

The 50-Day Moving Average: This average is currently acting as a resistance level. If ADA attempts to climb higher, it might face a hurdle at this point, potentially limiting gains in the short term.

The Relative Strength Index (RSI): Sitting pretty at around 50, the RSI indicates a neutral zone – neither overbought nor oversold. This further emphasizes the current market indecisiveness.

Expert Opinions: A Range of Possibilities

Financial experts are offering a spectrum of short-term predictions for Cardano. Optimists believe ADA could break above the $0.45 resistance zone, possibly reaching $0.50 by the week's end if positive market news emerges. However, pessimists predict a continuation of the sideways movement, with ADA potentially dipping below $0.40 if the broader market takes a downturn.

Catalysts for This Week's Price Action

Several factors could significantly influence Cardano's price this week:

Market Movements: A strong rally in Bitcoin or positive industry news could trigger a surge for ADA. Conversely, a bearish turn in the market could drag ADA down with it.

News and Development Updates: Announcements from the Cardano Foundation regarding upcoming developments, partnerships, or successful testnet implementations can significantly impact investor sentiment and price movement.

Trading Volume: A spike in trading volume often precedes significant price movements. A surge in activity could signal a breakout, upwards if there's a buying frenzy or downwards if there's a wave of selling.

Social Media Buzz: Platforms like Twitter and Telegram are powerful gauges of investor sentiment. Following discussions, tweets, and overall community chatter about Cardano can provide valuable insights into market psychology. Positive sentiment might foreshadow a price increase, while negativity could indicate a potential drop.

The Bottom Line: Navigate with Caution

Predicting Cardano's price with absolute certainty this week is simply not possible. The inherent volatility of the cryptocurrency market, combined with the complex interplay of these factors, makes precise forecasts a challenge.

However, by understanding the current market landscape, analyzing technical indicators, and considering expert opinions, you can make informed decisions. Remember, short-term predictions should be treated with caution. Stay on top of market movements, news flow, trading volume, and social sentiment throughout the week for the most up-to-date picture.

Most importantly, conduct your own research, understand the underlying technology, and maintain a diversified portfolio to manage risk effectively in the ever-changing world of cryptocurrency investments.

To stay updated on all economic events of today, please check out our Economic calendar

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Glendon

Economic

Newegg Commerce Inc, a leading tech-focused e-retailer in North America, has been a subject of interest for many investors. This comprehensive review will analyze the company's stock performance, financial health, market position, and future outlook to provide a clear picture for potential investors.

Company Overview

Newegg Commerce Inc is an e-commerce company that specializes in selling computer hardware, consumer electronics, and related products. Founded in 2001, the company has grown to become one of the largest online retailers of computer components and consumer electronics in North America. Newegg went public through a merger with a special purpose acquisition company (SPAC) in May 2021.

Stock Performance

Newegg's stock (NASDAQ: NEGG) has experienced significant volatility since its public debut. As of July 2024, the stock price stands at $0.90, down considerably from its all-time high of $79.07 reached in July 2021. This dramatic decline reflects both market-wide trends and company-specific challenges.

Over the past year, NEGG has underperformed the broader market significantly:

1-Year Return: -21.99% (compared to S&P 500's +24.27%)

5-Year Return: -88.53% (compared to S&P 500's +85.16%)

Since IPO: -93% (compared to S&P 500's +33%)

These figures highlight the stock's struggle to maintain value in a competitive e-commerce landscape.

Financial Health

Examining Newegg's financial ratios provides insight into the company's current financial state:

Price to Book (P/B) Ratio: 6.06

Price to Sales (P/S) Ratio: 0.21

Price to Cash Flow (P/CF) Ratio: 1.50

The low P/S ratio suggests that the stock may be undervalued relative to its sales, potentially indicating an opportunity for value investors. However, the higher P/B ratio could imply that the stock is overvalued compared to its book value.

Newegg's debt-to-equity ratio stands at 69.99%, which is relatively high and may indicate increased financial risk. The company's levered free cash flow (ttm) is negative at -$16.82 million, suggesting challenges in generating positive cash flow after accounting for capital expenditures and debt obligations.

Market Position and Competition

Newegg operates in the highly competitive e-commerce sector, facing stiff competition from giants like Amazon, Best Buy, and other specialized electronics retailers. The company's focus on tech products and components has helped it carve out a niche, but maintaining market share remains a significant challenge.

Future Outlook

Despite the current stock performance, Newegg has potential growth avenues:

Expansion of product lines: Newegg has been diversifying its offerings beyond computer components, which could open up new revenue streams.

International growth: The company has been expanding its presence in global markets, which could drive future growth.

Focus on high-margin products: Newegg's emphasis on PC components and gaming products, which often have higher profit margins, could improve profitability.

However, the company faces several challenges:

Intense competition: The e-commerce space continues to be highly competitive, with larger players having significant advantages in scale and resources.

Economic uncertainty: Consumer spending on electronics can be sensitive to economic conditions, which remain uncertain.

Supply chain issues: Ongoing global supply chain disruptions could impact product availability and costs.

Investor Considerations

For potential investors considering NEGG, several factors warrant attention:

High volatility: NEGG has shown significant price swings, making it a potentially risky investment.

Lack of dividends: Newegg does not currently pay dividends, which may deter income-focused investors.

Growth potential: Despite current challenges, Newegg's established position in the tech e-commerce space could provide growth opportunities if the company successfully navigates market challenges.

Financial health concerns: The negative free cash flow and high debt-to-equity ratio suggest potential financial risks that investors should carefully consider.

Conclusion

Newegg Commerce Inc (NEGG) presents a mixed picture for investors. While the company has an established presence in the tech e-commerce sector and potential for growth, its stock performance has been disappointing, and financial health indicators raise some concerns. The stock may appeal to risk-tolerant investors who believe in the company's long-term potential, but it's crucial to approach any investment decision with caution and thorough research.

As with any investment, potential investors should conduct their own due diligence, consider their risk tolerance, and possibly consult with a financial advisor before making investment decisions regarding NEGG or any other stock.

To stay updated on all economic events of today, please check out our Economic calendar

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Alex

Economic

The rise and rise of private markets has a feeling of inexorability about it. Despite increased financing costs and an uncertain growth outlook, private market assets under management totalled $13.1tn on June 30 last year, having grown at nearly 20 per cent a year since 2018, according to consultants McKinsey.

While fundraising has declined from its 2021 peak, a recent survey by State Street found that a majority of institutional investors intended to increase their exposure to almost all private markets, including infrastructure, private debt, private equity and real estate.

Yet the boom in private markets since the 2007-2009 financial crisis, especially in the big buyout category, was built on ultra-loose monetary policy. Most of the returns came not from enhancing the efficiency of portfolio companies, but from selling assets at ever-increasing market multiples and through leverage, which increases the return on equity relative to the return on assets.

Today multiples are down, financing costs are up and balance sheets are weaker thanks to that leverage. Payouts to investors are low as managers are reluctant to sell assets and crystallise returns while multiples are depressed. As for private debt, its growth has been substantially driven by regulatory arbitrage, with banks facing tougher regulation since the financial crisis.

Governance shortcomings in private equity, overlooked in the cheap money bonanza, now look pressing as institutional investors query the values private equity managers put on portfolio companies. The valuation issue has been acute since the return of more normal interest rates. Private equity managers have tended to write down their assets’ value by far less than the falls in public markets. This is a nonsense given the higher leverage and illiquidity of the asset category. The writedowns should be far greater than for public equity.

Also of concern is last month’s decision of the US Fifth Circuit Court of Appeals to throw out the Securities and Exchange Commission’s new rules imposing greater transparency on performance and fees in private equity. There is no uniformity in disclosure, which is based on individual agreements between managers and their investors. Much controversy surrounds the calculation of internal rates of return and opaque backdoor fees that investors often unwittingly pay.

The SEC had also been worried about a lack of clearly defined valuation procedures and protocols for mitigating the industry’s innumerable conflicts of interest. These include a rash of continuation funds whereby managers sell portfolio companies to a new fund. This shelters them from valuations in the public markets. Such deals entail big increases in the buyout group’s fees.

Exposure to illiquid assets is leading to growing problems of portfolio balance for pension funds approaching the so-called endgame, where they transfer pension obligations and matching assets to insurers via buyouts or buy-ins. Insurers do not like taking on illiquid assets, and if they do accept them, they impose tough haircuts.

That said, the rise of private markets has been good for investors. They offer diversification benefits, subject to the endgame caveat above. There are huge opportunities in infrastructure arising from decarbonisation and digitisation. And venture capital provides an entrée into new technologies.

Less clear, given the huge sums pouring into private capital, is how much of an illiquidity premium remains to be harvested. Dry powder reserves, the amounts committed by investors but not yet deployed, stand at $3.7tn, a ninth consecutive year of growth.

Assessing the performance of private equity relative to public markets is difficult. Real returns can only be known when investments are finally realised. In the interim, everything rests on the managers’ valuations. Jeffrey Hooke of Johns Hopkins Carey Business School argues that private equity managers have cloaked middling investment returns in a mass of confidentiality and misinformation. They have, he says, taken a simple concept — borrowing money to increase equity returns — and shaped it into a massive commercial empire with little accountability.

The biggest question relates to costs. Private equity typically charges a 2 per cent annual management fee based on investors’ money committed to the fund, along with a 20 per cent share of the profits over a pre-agreed returns threshold of, typically, 8 per cent. This is a huge drag on performance relative to the fractional percentage costs of investing in passively managed quoted equity.

The days of easy windfalls from freakishly loose monetary policy are gone. Now, private capital is much more hazardous terrain for investors.

Source:Financial Times

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Samantha Luan

Economic

China’s ruling Communist Party started a four-day meeting Monday that is expected to lay out a strategy for self-sufficient economic growth in an era of heightened national security concerns and restrictions on access to American technology.

While the meeting typically focuses on such long-term issues, business owners and investors will also be watching to see if the party announces any immediate measures to try to counter a prolonged real estate downturn and persistent malaise that has suppressed China’s post-COVID-19 recovery.

“There’s a lot of unclarity of policy direction in China,” which is weighing on consumer and investor confidence, said Bert Hofman, the former World Bank country director for China and a professor at the National University of Singapore. “This is a point in time where China needs to show its cards.”

Economic growth slowed to 4.7% on an annual basis in the April to June quarter, the government reported Monday.

Chinese leader Xi Jinping addressed the closed-door meeting on Monday, expounding on a draft of its coming decision on “deepening reform and advancing Chinese modernization,” the official Xinhua News Agency said.

Security was tightened in central Beijing, as it generally is for major government events, with uniformed guards posted in some subway stations and neighborhood-watch people wearing red armbands stationed in public areas.

The decision will send a message to local government officials and others about the future direction of policy. The general expectation is that it will confirm a path laid out by Chinese leader Xi Jinping, though some hope for some fine-tuning to address concerns that increasing government control over business and society is stifling economic growth.

What is the “third plenum” and why does it matter?

The Communist Party’s 205-member Central Committee is holding its third plenum, or the third plenary session of a five-year term that started in 2022. This year’s meeting was expected to be held last year, but was delayed.

Historically, this third meeting has emerged as one at which major economic and policy decisions have been set, though not every time. Analysts say the plenum often sets longer-term directions impacting the economy.

1. In 1978, the meeting endorsed the “reform and opening up” of former leader Deng Xiaoping, the transformation from a planned economy to a more market-based economy that propelled China’s growth in the ensuing decades.

2. In 1993, it endorsed a “socialist market economy” that sealed the victory of reformers battling against conservatives warning about the dangers of economic liberalization.

3. In 2013, in another endorsement of reform, it said that the market would become the decisive force in the allocation of resources.

The last pronouncement, made a year after Xi became leader, didn’t come to be. Within a couple of years, the party began backtracking before setting off in a new direction in 2017, Hofman said.

What issues are at stake?

Under Xi, the Communist Party has decided that the party needs to be at the center of efforts to take China to the next level of development. China is the world’s second-largest economy, but with a population of 1.4 billion people, it is also still a middle-income country.

The government has reined in China’s high-flying tech giants, such as Alibaba, the fintech and e-commerce giant. As the United States became more adversarial, Xi pushed Chinese companies and universities to try to develop the high-end semiconductors and other technology that is being blocked by U.S. restrictions on exports to China.

Free-market advocates are concerned this government-led approach is discouraging the entrepreneurial spirit. Another worry is that the rising importance of national security will take a toll on economic growth. The government has investigated companies that transferred economic data overseas in what appears to be a widening definition of what constitutes a breach of the law.

A major change in direction is not expected and would be momentous if it were to happen. Instead, the degree to which the meeting acknowledges concerns about the business environment and national security could signal whether there will be some policy adjustments.

What policy shifts might happen?

Further support for high-tech industries that are considered vital for national security and future growth is all but certain, along with related industrial policies.

But the party faces demands on other fronts. Alexander Davey, an analyst at the Mercator Institute for China Studies in Germany, said they are watching how the government will balance two major prerogatives: economic growth and social equity.

Local governments are heavily in debt, with multiple cities suspending transit services because they could not afford to keep running them. In February last year, the city of Shangqiu, home to more than 7 million people, temporarily shut down bus lines.

“There may be a bit of a shift, does the central government issue more debt to local government so they can run their services?” Davey said. The trade off will be between vast resources poured into science and tech development, areas deemed vital to national security, and social services.

Investors will be on the lookout for indications that the government, having increased its control over the economy, will take any steps to create a more favorable environment for private companies.

Then, there is the real estate market. In April, the government announced policies that signaled a shift in its approach by funding direct purchases of unsold homes.

“A notable first-half shift in China’s property stance,” said Yifan Hu, chief investment officer for greater China at UBS bank, in a statement. “This ongoing pressure underscores the need for additional easing, which we think will be forthcoming given the supportive policy tone.”

Source：AP News

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Samantha Luan

Economic

Cryptocurrency

A local news publication in South Korea recently reported that the current ruling government is considering postponing the implementation of crypto tax for an additional three years. Thus, instead of January 2025, the Korean government won’t tax crypto capital gains further until January 2028.

Crypto Tax Relief to South Korean Investors Likely

Crypto taxation has been a matter of strong discussion in South Korea, originally started in 2021, after passing the related tax law in the National Assembly during the Moon Jae-in administration. Later, they further postponed the decision to 2023 considering the presidential election in the following year, and further to January 2025 under the Yoon Seok-yeol administration.

Some have criticized that the public opinion of the taxpayers largely influences the crypto tax policy in South Korea. In May 2024, the Financial Services Commission (FSC) presented data showing that the total number of crypto investors in South Korea has shot up by 6.45 million.

With the falling Bitcoin price and strong correction in the broader crypto market, there’s growing dissatisfaction on issues related to crypto taxes currently in South Korea. One of the market insiders told Hankyung publication:

“The daily cryptocurrency trading volume on domestic exchanges, which was in the 20 trillion won range in March, has recently plummeted to the 2 trillion won range. If the cryptocurrency income tax is imposed early next year, most investors will leave, further reducing trading.”

Income Tax Postponement Gains Momentum

Interestingly, the scheduled investment of financial investment income tax is also facing delays in South Korea. Despite the government’s announcement to abolish the tax, former Democratic Party of Korea leader Lee Jae-myung stated on the 10th of this month that “we need to think more about the timing of implementation.”

Now, if the crypto tax proceeds while there are delays in the financial investment tax, investors might feel disadvantaged. Critics argue that full-scale taxation of cryptocurrencies is impractical due to insufficient system and institutional preparation. One of the government officials said: “Secondary legislation is needed to classify cryptocurrencies and specify the types of business within the industry in detail so that taxes can be levied without difficulty. The institutional arrangements are not yet sufficient.”

However, some of the opposition leaders have countered saying that the lack of preparation from the government shows that they didn’t do what was necessary to implement crypto taxes. Also, they added that public opinion is getting too much importance in implementing crypto tax rules.

Source：Coingape

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Warren Takunda

Economic

The New Zealand Dollar is under pressure at the start of the new week following another domestic data set that will bolster the odds of a Reserve Bank of New Zealand interest rate cut before the year ends.

Kiwi house prices declined markedly in June, according to REINZ house sales. The house price index printed -0.1% month-on-month, bringing the annual figure down to +1.3% y/y from 2.3% previously.

This was after house sales fell 16.7% m/m in June, taking the annual change in turnover down to -25.6% from a positive 6.8% previously.

"Slow momentum in the housing market since last year's election, combined with the RBNZ’s 'tough love' message of keeping interest rates high for longer were the key factors," says Michael Gordon, Senior Economist at Westpac.

These housing data are the latest to make the case for an interest rate cut at the RBNZ, which is weighing on the NZ Dollar more broadly.

Last week the RBNZ performed what analysts described as a 'pivot' by signalling it now sees an interest rate cut as appropriate in the coming months. It said it expects "headline inflation to return to within the 1 to 3 per cent target range in the second half of this year."

It added that restrictive monetary policy (i.e. elevated interest rates) "will be tempered over time consistent with the expected decline in inflation pressures."

NZD weakness and broader GBP outperformance is clearly visible in a rallying GBP/NZD exchange rate, which last week recorded its strongest one-week gain since May of 2023. Gains extend into the new week and the pair is now quoted at 2.1295.

Momentum indicators are now suggesting some caution is warranted as the RSI is at 77.80, which is excessively overbought. In fact this is the most overbought the RSI has been in years.

Pound to New Zealand Dollar Week Ahead Forecast: Heavily Overbought into UK Data Risk_1

Above: GBP/NZD at daily intervals with the RSI in the lower panel.

We suggest a pullback is now warranted, although weakness is anticipated to be shallow. In the bigger picture, the pair trades above its key moving averages, and we see no incentive to stand in the way of the trend.

Following any near-term pullbacks, the next upside target is the 2023 peak at 2.1587, which can be attained in the coming two to four weeks. Near-term risks to GBP are relatively elevated as we have the release of inflation numbers on Wednesday, followed by wages on Thursday.

"We are still holding on to our call for an August rate cut, but another upside surprise for services inflation and/or wages would challenge our view and encourage a further strengthening of the GBP in the week ahead," says Lee Hardman, an analyst at MUFG Bank Ltd.

However, any undershoot against expectations can bolster the odds of an August 01 interest rate cut at the Bank of England and see GBP/NZD give back recent gains.

Services inflation is expected to read at 5.6% and headline CPI inflation is forecast to read at 2.0%. Any undershoot would raise the odds of an August 01 rate cut and send an overbought Pound-Euro sharply lower.

Analysts at Oxford Economics reckon the headline CPI inflation print will land at 1.8%, an outcome that would represent a decent undershoot and prompt a selloff in the Pound.

"Considering the GBP has been the best performing G-10 currency QTD, we think it remains prone to a larger correction if CPI print comes in lower than expectations," says Daragh Maher, Head of FX Strategy at HSBC.

The sell-off in the Pound would be limited because the Bank of England will find it difficult to cut aggressively if the economy continues to perform robustly, something a number of economists said was likely following last week's GDP release.

Regarding the wage numbers on Thursday, the expectation is for average weekly earnings to have increased 5.8% over the year to June. Anything below here would result in GBP selling.