Foremost Currency Group

Make the most of your currency

Talk to our friendly team:+44 (0)1442 892060

Euro Pushes Higher on Hawkish ECB Signal, Canadian Dollar Dented by Building Permits Slump

Pound News: Brexit Worries Continue to Limit Sterling Demand

Worries over Brexit continued to weigh on the Pound (GBP) yesterday as concerns mounted over the likelihood of British cars qualifying for free trade deals.

In the absence of any fresh domestic data this left GBP exchange rates on a weaker footing, exacerbating the sense of uncertainty surrounding the domestic outlook.

Ahead of tomorrow’s Bank of England (BoE)/TNS inflation attitudes survey the mood towards the Pound is likely to remain bearish.


Euro News: Signs of ECB Hawkishness Boost Single Currency

Comments from European Central Bank (ECB) chief economist Peter Praet offered encouragement to Euro (EUR) exchange rates.

Investors reacted positively to the suggestion that the ECB will discuss tapering its quantitative easing program at its June policy meeting.

However, as today’s finalised Eurozone gross domestic product data is unlikely to show any upward revision the appeal of the Euro could diminish.


US Dollar News: USD Fails to Capitalise on Narrowed Trade Deficit

Although the US trade deficit unexpectedly narrowed in April this failed to boost US Dollar (USD) exchange rates on Wednesday.

As the US Dollar has made solid gains across the board in recent days its upside potential has become limited, even as global trade jitters persist.

Any increase in the latest jobless claims figures may prompt USD exchange rates to shed further ground this afternoon.


Canadian Dollar News: Building Permits Slump Weighs on Canadian Outlook

April’s building permits figure saw a sharper contraction than forecast, slumping -4.6% on the month as the housing market came under renewed pressure.

Coupled with a fresh increase in US crude oil stockpiles this left the Canadian Dollar (CAD) on a weaker footing yesterday.

Confidence in the Canadian Dollar is likely to remain muted as markets brace for tomorrow’s raft of Canadian labour market data.


Australian Dollar News: Surge in Australian Growth Encourages AUD Rates

A surprisingly sharp uptick in the Australian gross domestic product encouraged Australian Dollar (AUD) exchange rates to surge higher on Wednesday.

Markets reacted positively to news that growth had accelerated 3.1% on the year in the first quarter, even though this is unlikely to alter the policy outlook of the Reserve Bank of Australia (RBA).

Even so, if market risk appetite picks up ahead of the weekend the Australian Dollar could struggle to hold onto its gains for long.


Upcoming Data

Thursday, 7 June

10:00     Eurozone Gross Domestic Product

13:30     US Jobless Claims

20:00     US Consumer Credit


Alastair Archbold

Currency Trader


© Copyright 2013 to 2019 | Foremost Currency Group Ltd | All rights reserved