This morning, the euro has been hit hard by the breakdown of talks to form a ruling German coalition, triggering fresh elections. The EUR/USD and EUR/GBP have gapped lower, with the former down 0.43%. Meanwhile, the EUR/JPY is at its lowest levels since September.
By contrast, the GBP/USD is performing well, making gains as the dollar softens.
The Australian dollar is nudging higher after the AUD/JPY made significant losses on Friday. The NZD/USD is also higher after heavy selling last week.
The USD/JPY is so far unchanged after Friday’s losses. The US dollar index is slipping lower after opening slightly higher.
At 14.00, we get ECB president Draghi speaking and again at 16.00.
MPC member Ramsden speaks at 18.30.
The NZD/USD is slightly higher this morning, but the general trend remains negative.