The US dollar appears to have survived Trump’s comments that he’s not thrilled with the prospect of rate rises, but is letting the Fed so what they feel best. Though there is no prospect of direct intervention, markets have noted concern about subtle pressure this might bring to subdue US rate hikes.
The GBP/USD is slightly higher after dropping below 1.3000 yesterday on worse than expected retail sales. By contrast, the GBP/JPY is extending its losing run, while the EUR/GBP approaches the March highs.
The EUR/USD is higher again after a volatile session yesterday, while the EUR/JPY slipping further below 132.00.
The USD/CAD is dipping lower as the US dollar gives back some gains following yesterday’s surge higher. The USD/CHF is also lower after a volatile session yesterday.
The USD/JPY continues to fall from the highs as the weaker dollar gives way to the safe haven yen.
Today we have UK Public Sector Net Borrowing at 09.30.
Canadian Core CPI is at 13.30, released alongside core retail sales.
The EUR/GBP has surged to 0.8900, but these levels have acted as resistance at various points in the last 12 months.
While the pound is under pressure, the euro has its own headwinds.