The Canadian Dollar (CAD) consolidates losses on Thursday, as the US Dollar (USD) remains buoyed by heightened hopes that the Federal Reserve (Fed) will tighten its monetary policy later this year.
United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann note AUD/USD’s sharp fall to 0.6883 before a modest recovery to 0.6901, with deeply oversold conditions pointing to near-term range trading between 0.6880 and 0.6920.
Dow Jones futures advance 0.15%, trading near 52,350 during the European hours on Thursday. Meanwhile, S&P 500 futures are up by 0.80% near 7,490, and Nasdaq 100 futures rise 2.25%, trading near 30,180 at the time of writing.
Italy Industrial Sales s.a. (MoM) down to 0.3% in April from previous 2%
United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann highlight that GBP/USD briefly broke below 1.3160 to 1.3140 before recovering to 1.3170, with intraday price action expected to probe 1.3130 while keeping 1.3110 out of reach.
Spain Gross Domestic Product (YoY) meets expectations (2.7%) in 1Q
Spain Gross Domestic Product (QoQ) meets forecasts (0.6%) in 1Q
BNY’s Geoff Yu notes that Gold has broken below $4,000/ounce after a weak spell since mid-March, as rising global front-end yields and fading debasement fears pressure precious metals.
The Euro (EUR) edges lower against the US Dollar (USD) on Thursday, extending its decline for the fourth consecutive day.
European Central Bank (ECB) policymaker Isabel Schnabel reiterates that the central bank is not done with monetary tightening yet, according to her remarks released by Econostream released during the European trading session on Thursday.
ING’s Francesco Pesole argues the Dollar rally may be nearing its peak as calmer risk sentiment and softer Federal Reserve (Fed) pricing take hold.
MUFG’s Lloyd Chan notes USD/JPY is trading close to its 2024 highs as resilient US data and elevated US yields underpin Dollar carry appeal.
