The dollar pairs are rebounding, with the dollar index and other safe havens on the back foot. There is no good news specifically, more an absence of potentially bad news. Movements are slight though, with any gains potentially wiped out in a morning session.
The EUR/USD is rallying off the 1.1400 level after holding off the worst of the selling yesterday. The GBP/USD is also rallying, following a similar trend to the euro. The AUD/USD is struggling however, with the pair unchanged after further selling yesterday.
Chinese industrial production came in below estimates this morning.
The US dollar is losing ground to the Canadian dollar as well, with the USD/CAD losing ground for the second straight day. The USD/CHF remains rangebound, but is making small follow on losses.
The yen pairs are higher as well, with most rebounding off the lows by the close yesterday. The AUD/JPY is a notable exception, closing with significant losses yesterday, with a rebound this morning that remains below Monday’s opening gap.
The euro is making better progress, with the EUR/CHF higher, but the pair remains below Monday’s opening gap. The EUR/GBP is also nudging lower after a small rally yesterday.
At 09.30, we gave UK average earnings index at 09.30, released alongside claimant count change and the unemployment rate.
Flash European GDP is at 10.00, released alongside German ZEW Economic sentiment.
Gold plunged yesterday, well below $1194, but there could be more downside to come as the US dollar index continues to dominate.