Slow start to the week with big data release Thursday.
GBP: The British pound (GBP) experienced mixed performance in today’s trading session. The currency faced some pressure due to concerns over the Bank of England’s monetary policy outlook. However, it managed to stabilize against the US dollar (USD) and made modest gains against the euro (EUR). Traders are closely monitoring the upcoming economic data releases for further direction.
Key Data Releases for GBP:
- UK Retail Sales: The Office for National Statistics will publish the retail sales data for May later today. Analysts expect a significant increase in retail sales as the economy continues to reopen. Positive figures may provide support for the pound.
EUR: The euro (EUR) displayed weakness against the GBP but remained relatively steady versus the USD. Market sentiment around the common currency was influenced by a mix of factors, including economic data and global market dynamics. Traders are closely watching upcoming events that could impact the euro’s performance.
Key Data Releases for EUR:
- Eurozone Current Account: The European Central Bank will release the current account data for April today. A higher surplus or lower deficit may be viewed positively for the euro, indicating a robust external balance.
USD: The US dollar (USD) demonstrated some weakness against the GBP but held steady against the EUR. The currency remained influenced by a combination of factors such as economic indicators, geopolitical developments, and central bank actions.
Key Data Releases for USD:
- US Housing Starts and Building Permits: The US Census Bureau will publish housing starts and building permits data for May today. These figures provide insights into the strength of the construction sector, which is an important component of the overall US economy. Higher-than-expected results may strengthen the US dollar.
- University of Michigan Consumer Sentiment: The preliminary reading for the University of Michigan’s consumer sentiment index for June will be released later today. This gauge provides an indication of consumer confidence, which is a crucial factor for assessing future consumer spending. Better-than-expected sentiment figures may have a positive impact on the US dollar.
Overall, market participants are closely monitoring the aforementioned key data releases to gauge the economic health of the respective regions. Traders will also continue to keep an eye on global market sentiment and any geopolitical developments that could impact currency movements throughout the day.