ADP payroll numbers missed forecasts, futures remain firm and markets await this afternoon’s Fed announcement and news conference. The Fed is expected to announce a 50bp rate hike today and the market awaits Jerome Powell’s post meeting remarks. BoE is up next tomorrow, with a rate hike expected.
May 4, 2022
EUR/USD 1.0541 GBP/USD 1.2503 USD/CAD 1.2832 AUD/USD 0.7140 USD/JPY 130.01 USD/CNH 6.6545 USD/ILS 3.3863 USD/MXN 20.2512 USD/CHF 0.9826 USD/INR 76.4225 USD/BRL 5.0233 USD/DKK 7.0581 USD/SEK 9.8623 USD/NOK 9.3905
USDDollar slid slightly following missed ADP payroll forecasts. Markets await the 2pm FOMC and news conference. A 50bp rate hike is expected and largely priced in. Markets will listen to Jerome Powell’s comments at the news conference for information on trajectory and speed of subsequent rate increases.GBP
GBP/USD advances slightly on higher gilt yields and head of tomorrow’s Bank of England announcement.EUREUR holds above 1.05. EU member states meet today to discuss a block on Russian crude and refined oil.CADCAD advanced versus the dollar as oil prices soared in reaction to the EU proposing a ban on Russian crude.ASIA/PACIFIC
USD/JPY remains right on top of 130 amid thin holiday week trading.
Aussie moved higher versus the US dollar as the hawkish rate hike and upbeat domestic data lent support to the currency.
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