This morning, the US dollar is firmly in control on expectations for further rate hikes and confidence following the passing of tax legislation.
This in turn is putting pressure on dollar pairs, notably the AUD/USD which is off by 0.33%. The AUD/JPY is also extending yesterday’s losses. This comes on the back of poor trade balance data.
The NZD/USD is also weak and one of the worse performers this morning.
The Canadian dollar also remains weak following yesterday’s BOC rate statement and reversal in oil prices. The USD/CAD is pushing higher and is close to undoing last week’s slump.
The yen pairs are mostly higher, led by the USD/JPY as the US dollar dominates today’s moves.
Coming up today, we have UK Halifax HPI at 08.30.
At 13.30, we get US unemployment claims and Canadian building permits.
Canadian Ivey PMI follows at 15.00.
ECB President Draghi speaks at 16.00.
Final Japanese GDP is at 23.50.
Both gold and silver have struggled of late, but it’s silver that’s really moving fast. There is a school of thought that the rise of bitcoin has curbed speculative interest in precious metals.
Either way, there could be further downside for silver from here.