Australian dollar (AUD) trims trade-inspired gains
The Australian dollar (AUD) initially rose yesterday as an unexpectedly strong surge in Australian exports in March boosted the ‘Aussie’.
However, the risk-sensitive currency was unable to hold on to these gains in the evening as a souring mood sapped AUD’s appeal.
Later this morning, Australia will publish its retail sales figures for March. Could an acceleration in sales growth lift the ‘Aussie’ dollar?
New Zealand dollar (NZD) see-saws alongside AUD
The New Zealand dollar (NZD) traded in tandem with its Australian counterpart yesterday, initially ticking higher before stumbling in the evening.
Market-moving New Zealand data remains in short supply today. As a result, risk appetite may be the driving factor behind NZD movement.
Pound (GBP) quiet as local elections get underway
The pound (GBP) traded mostly sideways yesterday as people across England headed out to vote in local elections.
Although the policy implications are limited, the prospect of a bruising result for Labour reminded some investors of the political instability that has plagued the UK in recent years.
With UK economic data absent from the calendar today, Sterling may trade without a clear direction.
Euro (EUR) softens as USD ticks higher
The euro (EUR) wavered lower yesterday as Wednesday’s upbeat GDP figures failed to provide EUR with sustained support.
A rise in the US dollar (USD) put some pressure on the euro during the European trading session, as a lack of data left the common currency without support.
Looking ahead, the Eurozone’s CPI figures are in the spotlight. Cooling inflation could see EUR slump, while signs of sticky price pressures would likely underpin the euro.
US dollar (USD) buoyed by US-China trade hopes
The US dollar strengthened yesterday as hopes for a US-China trade deal lifted the ‘greenback’.
After China signalled that it was open to trade talks with America, US Treasury Secretary Scott Bessent indicated he was confident that the two sides could negotiate a deal.
Today, USD investors will be focused on April’s non-farm payrolls figure. Could a sharp slowdown in new job creation see the ‘greenback’ end the week on a sour note?
Canadian dollar (CAD) zig-zags in tandem with oil prices
The crude-linked Canadian dollar (CAD) fluctuated yesterday as oil prices wavered, with CAD regaining initial losses as oil prices recovered in the evening.
Canadian economic data is in short supply today, potentially leaving CAD exchange rates to be driven by oil prices and USD movements.
Data releases
11:30 AUD PPI (Q1)
11:30 AUD Retail Sales (Mar)
19:00 EUR Inflation Rate (Apr)
22:30 USD Non Farm Payrolls (Apr)
22:30 USD Unemployment Rate (Apr)