Pound News: UK’s Reopening Continues – Sterling Sees Fresh Surge
The Pound continued to be one of the market’s most appealing major currencies when markets opened this morning. It comes as groups are allowed to socialise outside again, as England’s lockdown continues its gradual easing.
Speculation that the UK could be one of the first major economies to recover from the coronavirus pandemic has been the primary cause of recent Pound strength.
No notable UK data will be published tomorrow, leaving the Pound to be driven by coronavirus news until Wednesday’s UK GDP growth rate report is published, with expectation of 1% growth in the final quarter of 2020.
Euro News: Eurozone Outlook Remains Gloomy as France and Germany Consider Restrictions
The Euro struggled during today’s European session as speculation grows that France and Germany will introduce stricter restrictions. While the UK and US economies show signs of recovery, the Eurozone outlook remains gloomy, weighing on the Euro.
Eurozone consumer and business sentiment data are due tomorrow, as well as German inflation rate results. If all show strong improvement as forecast to one-year highs, they could boost the Euro’s appeal.
US Dollar News: Rising US Outlook Continues to Boost USD
The US economy continues to show signs of recovery from the coronavirus pandemic.
As the US is one of the major economies showing the most optimistic recovery outlooks, and markets have been more hesitant to take risks lately, the safe-haven US Dollar has been one of the most appealing major currencies.
Tomorrow will see the publication of US consumer confidence data. So long as coronavirus uncertainties persist and US recovery hopes remain high, the US Dollar is likely to see continued strength.
Canadian Dollar News: CAD Slips as Oil Prices Retreat from Highs
Prices of oil, Canada’s biggest export, fell back from their best levels when markets opened today, causing the oil-sensitive Canadian Dollar to weaken.
Oil prices fell as the ship blocking the key Suez Canal trade route, the ‘Ever Given’, began to move after it was freed.
Looking ahead, shifts in oil prices are likely to drive CAD exchange rate movement ahead of Wednesday’s key Canadian growth rate report.
Australian Dollar News: ‘Aussie’ Attempts to Claw Back Gains but Market Sentiment Mixed
Australia’s domestic outlook remains fairly strong. However, as the Reserve Bank of Australia (RBA) has shown no hawkish signs, the Australian Dollar has been throttled by market risk aversion in recent weeks.
The Australian Dollar’s gains were limited, but it attempted to climb back from lows today.
As no notable Australian data is due for publication tomorrow, AUD will be driven by market sentiment for now, until Thursday’s slew of data including retail and trade balance stats.
Tuesday 30th March
08:45 French Consumer Confidence
10:00 Eurozone Confidence Report
13:30 German Inflation Rate
13:30 Canadian Weekly Earnings
15:00 US CB Consumer Confidence