Pound (GBP) firms following investment announcement
The Pound (GBP) found success during yesterday’s session, as Chancellor Jeremy Hunt trailed some investment plans ahead of his Spring Budget.
Hunt announced £360m in funding for the UK manufacturing industry, as the Treasury tries to kick-start growth in the British economy.
Looking forward, the UK’s final services PMI due out this morning could impact GBP. Will confirmation of another strong expansion in the service sector boost the Pound?
Euro (EUR) limited ahead of ECB decision
The Euro (EUR) managed to rise against its weaker rivals on Monday but struggled to make gains elsewhere as a lack of Eurozone economic data stifled the currency’s potential.
Additionally, EUR investors were likely hesitant to adjust their positions ahead of the European Central Bank’s (ECB) interest rate decision on Thursday.
The Eurozone’s final service sector PMI was published this morning. Will a slight upward revision be enough to lift EUR exchange rates today?
US Dollar (USD) muted amid lack of data
The US Dollar (USD) fell against its stronger rivals yesterday as a lack of US data left the ‘Greenback’ without much support.
However, the safe-haven currency was able to firm against its riskier rivals amid a cautious mood among investors.
This afternoon, the latest ISM services PMI is in the spotlight for USD investors. An expected slowdown in activity could put pressure on the ‘Greenback’.
Canadian Dollar (CAD) subdued amid fluctuating oil prices
The crude-linked Canadian Dollar (CAD) softened on Monday as choppy oil prices and a lack of Canadian data left the currency exposed to losses.
Canada’s own services PMI will be released later today, with a forecast contraction potentially creating headwinds for the ‘Loonie’.
Australian Dollar (AUD) tumbles on China economic woes
The Australian Dollar (AUD) slumped overnight amid fresh fears over China’s economic outlook. The ‘Aussie’ often trades as a proxy for the Chinese economy.
New Zealand Dollar (NZD) slips amid risk aversion
The New Zealand Dollar (NZD) also fell last night as a gloomy mood pressured the risk-sensitive ‘Kiwi’.