Dollar rallies ahead of US Jobs and PMI
Daily Currency Update
US Dollar's dominance continues as the more hawkish-than-expected tone from the Federal Reserve's meeting earlier this week continues to provide significant support. This has led to broad USD strength against most major currencies.The Pound has shown some resilience but remains weak against the strong US dollar. Market attention is now turning to next week's Bank of England (BoE) meeting, which could set the tone for its next move.
The Euro's struggles are continuing to face pressure. While yesterday's Eurozone GDP data was positive, the currency has been unable to sustain a rally due to the robust USD and ongoing concerns about the Eurozone's overall economic health.
Key Movers
This morning, we have the Eurozone Core Harmonized Index of Consumer Prices and Harmonized Index of Consumer Prices, both for the Month on Month and Year on Year for July.Later today we have the US Non-Farm Payrolls, this is the most significant economic data release of the week. It will provide a key indicator of the health of the US labour market and is likely to cause significant volatility in all currency pairs involving the US Dollar.
Following on from that we have the US Institute for Supply Management (ISM) Manufacturing PMI, the ISM Manufacturing PMI is another important piece of US data that will provide further insights into the US economic picture.
Expected Ranges
- GBP/USD: 1.3190 - 1.3240 ▼
- GBP/EUR: 1.1520 - 1.1570 ▼
- GBP/AUD: 2.0520 - 2.0560 ▼
- EUR/USD: 1.1380 - 1.1440 ▼