Pound (GBP) muted amid lack of data
The pound (GBP) was subdued yesterday amid an absence of UK economic data.
In addition, GBP investors were likely hesitant to place any aggressive bets ahead of today’s jobs data and tomorrow’s GDP report.
This morning, the pound is facing selling pressure after an unexpected rise in UK unemployment in April. However, stronger-than-forecast wage growth may be limiting Sterling’s losses.
Euro (EUR) slumps as EU elections spark anxiety
The euro (EUR) faced heavy selling pressure yesterday, plunging to a 22-month low against the pound, amid investor anxiety in the wake of the European elections.
With far-right Eurosceptic parties making gains across the EU and France calling a snap election, worries around political instability piled pressure on the common currency.
This afternoon, European Central Bank (ECB) Chief Economist Philip Lane is due to speak. Could signals that the bank may wait before cutting interest rates again lend the euro support?
US dollar (USD) stays strong following Friday’s data
The US dollar (USD) held strong at the start of this week’s session as markets continued to adjust their expectations for Federal Reserve interest rate cuts this year following last week’s strong US jobs data.
However, USD seemed to hit a ceiling, with investors reluctant to continue buying the ‘greenback’ ahead of tomorrow’s consumer price index and Fed monetary policy decision.
With US data absent from the calendar today, and the CPI and Fed decision looming, the US dollar may trade in a narrow range.
Canadian dollar (CAD) muted despite rising oil prices
The crude-linked Canadian dollar (CAD) struggled to find support yesterday, despite rising oil prices, without a clear catalyst for the movement.
Canadian economic data is in short supply again today. Could oil prices have a more discernible impact on CAD exchange rates during today’s session?
Australian dollar (AUD) dented by falling business confidence
The Australian dollar (AUD) slipped overnight after new data showed an unexpected deterioration in Australian business confidence in May. However, AUD managed to recoup some losses as the session progressed.
New Zealand dollar (NZD) struggles amid risk-off mood
The New Zealand dollar (NZD) traded in tandem with AUD overnight, struggling to attract support amid a souring market mood.