Dollar demand strong ahead of data
May 4, 2021
EUR/USD 1.2029 GBP/USD 1.3851 USD/CAD 1.2317 AUD/USD 0.7712 USD/JPY 109.10 USD/CNH 6.4856 USD/ILS 3.2586 USD/MXN 20.2257 USD/CHF 0.9123 USD/INR 73.86 USD/BRL 5.4387 USD/SGD 1.3360 USD/DKK 6.1818 USD/SEK 8.4588 USD/NOK 8.3152
USDThe dollar gained broadly overnight ahead of US trade balance, factory goods and durable goods orders amid a cautious mood in markets. Fed Chair Powell reiterated yesterday that monetary policy will remain unchanged for a considerable amount of time.GBPSterling gave up ground versus the dollar overnight following yesterday’s manufacturing PMI reading of 60.9 which was near expectations. Markets look ahead to Thursday’s BoE meeting to see if forecasts are revised.EURThe euro dropped in early trading erasing Monday’s gains driven by profit taking.CAD
Despite the price surge of WTI overnight, the Canadian dollar gave back yesterday’s gains versus the greenback. The loonie declined the most in two weeks as demand for riskier assets waned ahead of data out this morning.ASIA/PACIFIC
USD/JPY rallied supported by climbing US treasury yields.
AUD/USD sank following RBA meeting despite the central bank leaving monetary policy and interest rates unchanged along with upgrading growth outlook as US dollar demand overshadowed.
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