Dollar slightly higher in low volume trading

Risk tone remains cautious this morning and currency markets are mostly quiet amid low volume trading. The euro and pound softened versus the dollar as the Canadian dollar moved just slightly higher. The FDA approved a drug for Alzheimer’s care that can potentially slow progression in early stage patients.

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  • FX Rates
    June 8, 2021

    Rates are not real time. Rates are today's indicative mid-market rates as of time of publishing, which may vary. Please contact SVB for a current quote.


  • USD
    The greenback edged slightly higher in low volume alongside treasuries as markets digested comments regarding inflation impact and monetary policy. US Goods and Services exports rose 1.1% MoM and narrowed the trade deficit to $68.9B in April.
    GBP

    Sterling lost 0.3% to the dollar amid rising tensions between the UK/EU and concerns the country will delay the exit from lockdown. The EU and UK are set to have formal talks tomorrow on the handling of post-Brexit obligations surrounding Northern Ireland.

    EUR

    The euro softened slightly versus the dollar as bond yields slip following German ZEW and April Industrial Production. Mixed data showed a 1% contraction in industrial production, but a 26.4% annualized increase. ZEW reading showed economic sentiment contracting unexpectedly. Low volumes persist ahead of an ECB meeting this week.

    CAD
    The USD/CAD pair continues to track sideways awaiting fresh direction for a breakout and took marginal movement against the dollar despite the dollar-positive tone. Markets will listen to the BoC announcement tomorrow.
    ASIA/PACIFIC

    Japanese Q1 GDP showed a contraction of 1% quarter over quarter as capital expenditures also shrank. Economic Minister Nishimura expects consumption spending to increase as the economy continues to reopen. The pair edged slightly higher and gains are capped at 109.45 due to macro offers and 109.50 strikes.

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Kathryn Garvey
WRITTEN BY
Kathryn Garvey

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