 Hello, welcome to CMC Markets on Tuesday the 4th of August and the weekly market update. What a last few days it's been. We've seen Chinese equity markets continue to come under pressure amidst increasing concern about the resilience of the Chinese economy. And I talked last week about the Hong Kong H shares index, how that could well come under further pressure. Chinese authorities are still trying to intervene to prop up the stock market. The likelihood is we will potentially get further stimulus measures, but be that as it may commodity prices continue to track lower. And in that context I'm going to be looking at Brent crude prices and to see where the next target for those could potentially be. And also on a very, very busy week for certainly the UK and US economies, I'm going to be looking at the pound against the dollar in the context of the US economic data that's come out over the last week or so. And this Friday's payrolls, which I will be covering live with my colleague Colin Zizinski, 1.15 on Friday. You can log in up here, just to touch the link and log in and basically cover it live with the two of us. But also we'll be looking at super Thursday in respect of the UK economy, where for the first time ever the Bank of England will be releasing not only its rate decision but also the minutes and the UK inflation report at the same time. So we could certainly be getting a significant amount of volatility certainly in the pound against the dollar towards the end of this week. So let's make a start with Brent crude prices and they've continued to come under pressure over the course of the last week or so and they've broken below a key support level on this daily chart. It's $52 a barrel. We haven't made the complete retracement back to the 2015 lows at $45 a barrel, but it seems highly likely that we could well get to that level very, very shortly. And that has wider implications not only for Brent prices, but also I think for potentially a US rate decision, in September. That discussion is for another day, but I think to stabilize Brent crude prices and commodity prices in general, because commodity prices have hit multi-year lows. The Reuters CRB is at its lowest levels since 2003. The Bloomberg Commodity Index lowest level since 2002. So the direction of travel is very, very clear. So to stabilize in terms of Brent crude prices, what we need to do is break back above that unbroken support line that we broke through a couple of days ago at $52 a barrel. That was a significant area of support. It was the March lows and it was also the lows towards the end of July. We've now broken below that, unbroken below that quite significantly. We need to get back above that and close back above that to stabilize in the short to medium term. If we don't, then the prospects of further declines in Brent crude prices remain very much on the table. So let's move on to the pound against the dollar. Now, as I indicated earlier, it's a big week for the UK economy. Not only do we have a rate decision on Thursday, midday from the Bank of England, but we also get the minutes from that meeting at around about the same time. And that's going to be significant because we've heard a number of NPC members, potentially two, Martin Will and Amy Cafferty, basically suggesting that the time for an increase in rates is coming ever closer. Now, that's important in the context of the debate and the timing as to when we get an interest rate rise here in the UK. Now, it's actually quite interesting, the narrative surrounding the UK rate decision because pretty much across the board, UK economic data has been pretty much better than US economic data. Certainly wage growth data has been that much better yet no one is talking about a UK rate rise this year, unlike the US, where wages data remains very, very weak. So it's going to be very important the tone of the minutes, whether or not we get two or three dissenters and whether or not the inflation report is either hawkish or dovish. Now, the key support lines on the pound against the dollar come in from the lows, 145 earlier this year, currently around about 155.5. We can draw the trend line in. It's quite a nice line and we've got significant resistance around 156.80, 157. The price action is compressing. We do appear to be coming close to a breakout point. Now, we can break lower. We can break towards the 200 day moving average at 154.10, but overall, I think the buyer remains for a higher pound and a lower dollar on basis of this chart in front of you right now. So that pretty much concludes this week's weekly market update. Thanks very much for listening. Don't forget non-farm payrolls on Friday. Until then, this is Michael Houston talking to you from CMC Markets.