The US data schedule is light today with JOLTs due out this morning and FOMC minutes to be released this afternoon. Investors will pay attention to any signs of tapering of asset purchases and inflation targets following the slightly more hawkish comments last month. The dollar is down versus the Canadian dollar and mixed versus the pound and euro.
“Do not follow where the path may lead. Go instead where there is no path and leave a trail.”
July 7, 2021
EUR/USD 1.1803 GBP/USD 1.3805 USD/CAD 1.2450 AUD/USD 0.7505 USD/JPY 110.69 USD/CNH 6.4666 USD/ILS 3.2706 USD/MXN 19.9422 USD/CHF 0.9251 USD/INR 74.6188 USD/BRL 5.2011 USD/SGD 1.3482 USD/DKK 6.3004 USD/SEK 8.6224 USD/NOK 8.6968
The dollar is mixed ahead of FOMC minutes which are due to be released this afternoon. Markets will look for any hints regarding tapering of asset purchases and the expected path for inflation.GBP
The pound climbed versus the dollar this morning following optimistic comments by PM Johnson that despite an uptick in Covid cases last week, the UK economy is still on track to fully reopen on July 19.EUR
After giving up ground yesterday, the euro holds steady around its 3-month low weighed down by falling euro bond yields and Delta variant risks.CADThe Canadian dollar gave up ground to US dollar demand yesterday and as oil prices softened.ASIA/PACIFICIn China, the offshore yuan is stronger following reports that China is considering a cut to the reserve requirement ratio to fuel economic recovery.
For more analysis on FX markets or information regarding SVB's FX services:
See all of SVB's latest FX information and commentary at www.svb.com/trends-insights/foreign-exchange-advisory
By providing your email address and clicking on the Subscribe button below, you consent to receive emails from Silicon Valley Bank for your chosen categories. You also consent to the terms of our Privacy Notice. If you have privacy questions, you may contact us at PrivacyOffice@svb.com. You can withdraw your consent at any time.
Thank you for subscribing to SVB's Daily FX Update.
You're almost done. Please check your email box and follow the instructions to confirm your subscription. If you did not receive an email please check your Spam or Bulk E-Mail folder just in case the confirmation email got delivered there instead of your inbox. If so, select the confirmation message and mark it Not Spam, which should allow future messages to get through. Please add us to your trusted list of senders, contacts or address book.
Please note that we will continue to send you communications that we need to send you (for example, to keep you updated on operational changes to your account, a product or a service) or that we are required to send you by law.
This article is intended for U.S. audiences only.
©2022 SVB Financial Group. All rights reserved. Silicon Valley Bank is a member of the FDIC and the Federal Reserve System. Silicon Valley Bank is the California bank subsidiary of SVB Financial Group (Nasdaq: SIVB). SVB, SVB FINANCIAL GROUP, SILICON VALLEY BANK, MAKE NEXT HAPPEN NOW and the chevron device are trademarks of SVB Financial Group, used under license.
The views expressed in this email are solely those of the author and do not reflect the views of SVB Financial Group, or Silicon Valley Bank, or any of its affiliates. This material, including without limitation the statistical information herein, is provided for informational purposes only. The material is based in part upon information from third-party sources that we believe to be reliable, but which has not been independently verified by us and, as such, we do not represent that the information is accurate or complete. The information should not be viewed as tax, investment, legal or other advice nor is it to be relied on in making an investment or other decisions. You should obtain relevant and specific professional advice before making any investment decision. Nothing relating to the material should be construed as a solicitation or offer, or recommendation, to acquire or dispose of any investment or to engage in any other transaction.
Foreign exchange transactions can be highly risky, and losses may occur in short periods of time if there is an adverse movement of exchange rates. Exchange rates can be highly volatile and are impacted by numerous economic, political and social factors, as well as supply and demand and governmental intervention, control and adjustments. Investments in financial instruments carry significant risk, including the possible loss of the principal amount invested. Before entering any foreign exchange transaction, you should obtain advice from your own tax, financial, legal, accounting and other advisors, and only make investment decisions on the basis of your own objectives, experience and resources.