Commodity currencies outperform; dollar mixed
“Courage doesn't always roar. Sometimes courage is the little voice at the end of the day that says I'll try again tomorrow.”
May 5, 2020
EUR/USD 1.087 GBP/USD 1.2474 USD/CAD 1.4018 AUD/USD 0.6465 USD/JPY 106.57 USD/CNH 7.1136 USD/ILS 3.5177 USD/MXN 23.8384 USD/CHF 0.9690 USD/INR 75.6338
USDThe dollar is higher versus the euro and mixed versus other currencies as risk appetite returns. The dollar is set to climb for a third session today on initial optimism that cities are beginning to ease lockdown measures.GBPSterling has gained slightly versus the US dollar. Weak UK Data including shrinking UK services and new-car registrations weighed on the currency. Markets await Thursday’s BoE meeting and are listening for signs of additional stimulus measures.EURThe euro took a hit as German courts ruled Bundesbank’s participation in the ECB Public Sector Purchase Program unconstitutional. Speculative long positions were liquidated dragging down the currency.CADThe loonie gained support from rising oil prices, the USD/CAD currency pair is trading down 0.4%.ASIA/PACIFIC
The offshore yuan (CNH) is eyeing a record low as tensions rise between the US and China. Speculation of a fresh round of retaliatory tariffs sent the yuan within 1% of its all time low.
Japan remains on holiday through tomorrow and is trading tightly around 106.7.
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