Euro (EUR) Rises amid Risk-Off Mood
The Euro (EUR) found some success yesterday as the downbeat market mood gave the safer single currency a lift.
A lacklustre consumer confidence score did little to boost EUR’s gains in the afternoon. Consumer morale in the Eurozone improved this month, but less than markets had expected.
This morning, the Euro could enjoy an upside after German consumer confidence recovered more than expected.
US Dollar (USD) Limited despite Downbeat Trade
The safe-haven US Dollar (USD) failed to fully capitalise on the risk aversion in markets yesterday, although it was able to find success against some of its weaker rivals.
The ‘Greenback’ found its gains capped, seemingly due to a huge sell-off in USD/JPY as investors flocked to the Japanese Yen (JPY).
Turning to today, the latest American consumer confidence reading could potentially support USD, as economists expect a rise.
Pound (GBP) Vulnerable amid Lack of Data
A lack of UK economic data left the Pound (GBP) to trade depending on the market mood yesterday, with Sterling rising against its riskier peers and slipping against the safe ones.
Ongoing concerns about industrial action in the UK seemed to exert some pressure on the Pound. With strikes showing no signs of abating, worries about the disruption this could cause troubled GBP investors.
Later this morning, the Confederation of British Industry’s (CBI) distributive trades survey is forecast to show another decline in sales, which could hurt Sterling.
Canadian Dollar (CAD) Firms as Government Bond Yields Rise
The Canadian Dollar (CAD) gained ground yesterday, buoyed by an uptick in Canadian government bond yields.
Looking ahead, Canada’s latest inflation rate reading is in focus today. Could a forecast decline dent Bank of Canada (BoC) interest rate rise bets, thereby hurting the ‘Loonie’?
Australian Dollar (AUD) Dips amid China Covid Concerns
The Australian Dollar (AUD) slipped overnight as the market mood soured, with worries about China’s Covid situation weighing on investors’ minds.
New Zealand Dollar (NZD) Dented by Poor Data
The New Zealand Dollar (NZD) fell in overnight trade following poor New Zealand data. Consumer confidence unexpectedly dropped, and both the balance of trade and credit card spending figures missed forecasts.