Pound News: Sterling Rebounds from Multi-Year Lows
After hitting multi-year lows against some major currencies on Friday, the Pound spent yesterday rebounding from its worst levels despite ongoing no-deal Brexit fears.
Today’s UK job market data could offer Sterling support if average earnings increased as expected.
Euro News: Italian Political Uncertainties and German Recession Fears in Focus
Concerns about the possible collapse of Italy’s coalition government saw sustained pressure on the Euro yesterday, giving GBP/EUR a chance to advance. Investors fear Italian Deputy Prime Minister Matteo Salvini could win a potential snap election and solidify a far-right coalition government in Italy.
Fears for a possible German recession continue to cloud the Euro outlook and if today’s German inflation data disappoints investors, the Euro could face even more pressure.
US Dollar News: USD Struggles to Capitalise on Safe-Haven Demand
With US-China trade tensions remaining high, fears over the effect a trade war would have on the US economy capped the US Dollar’s potential for gains.
This afternoon’s US inflation data could prove influential. Rising consumer price pressures would reduce the odds of further monetary loosening and lend USD exchange rates support. If US inflation beats forecasts, dovish Federal Reserve speculation could lighten.
Canadian Dollar News: Weak Oil Prices Keep CAD Under Pressure
Concerns about US-China trade tensions, as well as lower oil prices, made it easier for the Pound to gain against the trade-correlated Canadian Dollar yesterday.
With a lack of notable Canadian data due for publication today, the Canadian Dollar will continue to be driven by trade developments and oil prices.
Australian Dollar News: GBP/AUD Regains Last Week’s Losses
Concerns over the long-term impact of the US-China trade war left the Australian Dollar one of yesterday’s weakest major currencies. China is Australia’s biggest trade partner, so the trade war is particularly worrying for AUD investors.
While trade war news will remain in focus, Australian business confidence data from NAB could also drive today’s Australian Dollar movement.
Tuesday, 13th August
02:30 Australian NAB Business Confidence
07:00 German Inflation Rate
09:30 UK Job Market Report
10:00 German and Eurozone ZEW Economic Sentiment
13:30 US Inflation Rate
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