Previous Day's Market Highlights
The pound fell to a new low against the dollar since January, below 1.35, as the dollar rebounded following a mixed jobs report. The dollar rose to a 2018 high against the euro below 1.19, its best levels since December. The April jobs report saw the US’s Unemployment Rate fall to 3.9% for the first time since December 2000, but wage growth was slower than expected at 2.6% while the US added fewer jobs to the economy than forecast.
The UK had a bank holiday on Monday. The dollar maintained relatively bid following recent gains, which kept it at some of its strongest levels this year, while the euro was a bit softer. US WTI Crude rose above $70 a barrel for the first time since 2014, in part on concerns that renewed sanctions on Iran would weigh on production levels. The Aussie came under pressure after Retail Sales, flat at 0.0% versus the forecast 0.3% gain.
|Currency Pairing||08:00 Today||Vs 08:00 Yesterday||Four-Week High||Four-Week Low||% Change|
Today's Market Highlights
The UK returns from yesterday’s bank holiday Thursday’s highly anticipated Bank of England meeting. Expectations that the BoE would hike interest rates this month fell from a peak of 90% at the start of April to only 20% as May began. Updated projections and guidance will be key with a rate hike now looking unlikely.
The calendar is fairly quiet today, leaving attention on any political headlines, which may mean relatively limited FX movement barring any surprises. President Trump is to announce this afternoon whether the US will withdraw from the Iran nuclear accord.
Aside from the BoE meeting, highlights this week include the meeting of the Reserve Bank of New Zealand, which is expected to keep interest rates on hold at 1.75%, as well as UK production figures, US April CPI, and Canadian labour market data.
Today's Economic Calendar
|13:15||CAD||Housing Starts s.a. YoY (Apr)||220K||225K|
|19:00||USD||President Trump Speaks|