The dollar index is on the rise this morning despite poor US consumer confidence figures last night. The New Zealand dollar is only a small counter weight, but is struggling this morning after the RBNZ offered a dovish rate statement.
The AUD/USD is one of the worst performers, catching some of the slide from the New Zealand dollar. The AUD/USD has reversed all of yesterday’s losses and is set to test the 0.7100 level.
The EUR/USD is also sliding and building on yesterday’s losses – Support around 1.1250 is holding for now. The EUR/GBP remains rangebound, with the pair still in sight of March lows as the pound holds most of recent gains. The GBP/USD is lower, but remains within a day’s session of the March highs.
The USD/CAD is on the rise after two days of losses, though struggling to break the 1.3400 level. The USD/CHF is performing well and extending the move above 0.9950.
The USD/JPY is unchanged so far after gains yesterday. The AUD/JPY is on the back foot by contrast, with the EUR/JPY also struggling after failing to break 125.00 yesterday. The GBP/JPY is posting smaller gains after falling below the 146.00 level.
ECB President Draghi speaks at 08.00.
At 12.30, we get Canadian trade balance.
FOMC member George speaks at 21.30.
The AUD/USD continues to struggle from a slow-down in China, with the pair in a slow (very slow) down trend since August. This morning’s New Zealand reversal is adding to the downside momentum this morning.