This morning, the US dollar remains at the highs as US tech earnings continue to impress. US advanced GDP also came in above estimates on Friday.
Dollar pair earnings are mixed this morning though, with gains for the EUR/USD and GBP/USD, but losses for the AUD/USD.
The pound is steady this morning after hefty losses incurred on Friday following the release of GDP numbers that slipped some way below estimates. UK advance GDP dropped to its lowest level of 0.1% growth against estimates of 0.3%. The GBP/USD tested the March lows, while the GBP/JPY reversed its promising recovery.
By contrast, the euro enjoyed a strong Friday, with the EUR/USD making gains and the EUR/GBP experiencing its biggest one day rally of 2018.
The USD/CHF run has stalled as the dollar momentum dips.
Today we have US core PCE index and personal spending at 13.30.
Chicago PMI is at 14.45.
Since making its post Brexit high, the GBP/USD has hit reverse gear. This has largely been driven by a change in interest expectations, with Friday’s GDP miss kicking a rate hike further into the long grass.