Brazil is struggling on both the humanitarian and the financial frontы. As a result, Brazilian real is weakening
Evergreen buck goes down
On Wednesday, the evergreen buck declined, while the UK pound rallied in Asia because British Prime Minister Theresa May told that she’d ask the European bloc for an extension of the Brexit deadline.
As a matter of fact, the currency pair GBP/USD jumped by 0.2% hitting 1.3136.
Fears over a no-deal Brexit receded after May proposed cross-party negotiations with Jeremy Corbyn, the leader of opposition in order to break the Brexit logjam.
May emphasized that the extension would be as short as possible, probably before May 22, in order to set Britain free from participating in EU elections.
Besides this, the USD index tracking the US currency versus a group of other peers went down by 0.2% ending up with 96.768 against the backdrop of a deceleration in durable goods spending.
Furthermore, durable goods orders went down for the first time for three months, as data on Tuesday revealed, contributing to signs that the deceleration in the American economy at the end of 2018 could extend.
The currency pair AUD/USD tacked on by 0.4% being worth 0.7097. Eventually, on Tuesday, the Reserve Bank of Australia left interest rates on hold at 1.5% exactly as anticipated. In a statement, Australia’s major financial institution kept describing the outlook for household spending as an area of uncertainty for the Australian economy.
Previously, the Australian Bureau of Statistics informed that Australia’s retail sales headed north by 0.8% in February month-on-month, which appears to be the fastest tempo since November 2017, confounding hopes for a smaller leap of 0.3%.
Furthermore, data also revealed that trade surplus tacked on to an all-time maximum.
The currency pair USD/CNY declined by 0.2%.
Besides this, the currency pair USD/JPY hit 111.48, rallied by 0.2%.
USD/CHF and EUR/CHF rose to tactical highs. What's next?
During the daily press briefing of Andres Manuel Lopez Obrador, it was announced that Mexico will receive 1.4 million doses of the vaccine by the end of January. Is that optimistic enough for the peso?
The Australian economy has been on a steady recovery path, and now we have a very symbolic confirmation that S&P ASX 200 is about to cross 7000!
Jump in to know the latest market news and trade ideas for today!
The Reserve Bank of New Zealand will hold a meeting on Wednesday, April 14, at 05:00 MT.