The US dollar is back in demand amid a general retreat into risk-off trading. This comes as Trump cancels the planned North Korea summit and generally poor US economic data.
The yen was in control yesterday, as traders switched out of the dollar on poor US unemployment and existing home sales. The USD/JPY dropped heavily as traders took safety in the yen, though this trend is reversing this morning. Other yen pairs such as the GBP/JPY and EUR/JPY are flat to negative after significant reversals yesterday.
The dollar index is back on the rise this morning, forcing the dollar pairs on the back foot. The likes of the AUD/USD, GBP/USD and EUR/USD are making moderate losses after moderate gains made yesterday.
The Swiss franc is following a similar trend, with the USD/CHF gaining following losses yesterday.
The USD/CAD has continued to climb as the oil price bull run loses momentum.
Gold is slipping back after significant gains made yesterday with traders hunting for safe harbours.
We have German Ifo business Climate at 09.00.
UK second estimate GDP is at 09.30, released alongside preliminary business investment.
RBA assistant governor Bullock speaks at 13.00.
US core durable goods orders are at 13.30.
UK BOE governor Carney speaks at 14.20, with Fed Chair Powell speaking at the same time.
Revised UoM consumer sentiment is at 15.00.
FOMC member Bostic speaks at 16.45.
German Buba President Weidmann speaks at 20.20.
The euro continues to stumble against dollar pressure and poor European economic data. By contrast, the Swissy is picking up momentum on the safe haven play.