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FX traders attention on political events

Daily Currency Update

Politics are dominating traders attention as the first US presidential debate between President Joe Biden and former President Donald Trump is set for Thursday. Meanwhile, French elections are slated to begin this weekend, adding to the market's volatility.

The euro has been under pressure due to political uncertainty in France following President Emmanuel Macron's unexpected call for snap elections earlier this month. This political upheaval has heightened market anxiety, contributing to the euro's recent struggles. Traders are closely monitoring these events as they could have significant impacts on currency markets.

Key Movers

GBP appears poised for a decline as market expectations for UK interest rates may be adjusted downward later this summer. This shift is anticipated in response to a likely rate cut by the Bank of England in August. Currently, the pound's value has been influenced by the BoE's stance on monetary policy, but recent economic indicators suggest a potential easing ahead.

Expected Ranges

  • GBP/USD: 1.2655 - 1.2735 ▲
  • GBP/EUR: 1.1805 - 1.1875 ▲
  • GBP/AUD: 1.8955 - 1.9055 ▼
  • EUR/USD: 1.0685 - 1.0765 ▼

Written by

See Wah Li


See Wah is passionate about supporting positive transformations when it comes to managing foreign exchange. As a Senior Currency Consultant at OFX, his goal is to help businesses make informed decisions, alleviate risks, and enhance their currency strategies for success. With over 6 years of experience in the foreign exchange market, See Wah’s strength lies in developing effective solutions to help navigate the complexities of currency fluctuations and mitigate their impacts on business profitability.