This is the most important news in the Forex market today.
Evergreen buck tacks on as UK pound struggles ahead of Brexit vote
On Tuesday, the US currency rallied notwithstanding confidence among American customers dived to a one-and-a-half-year minimum in January.
As a matter of fact, the Conference Board’s consumer confidence slipped to its lowest value since July 2017 due to the fact the US government affected optimism.
Gauging the greenback’s purchasing potential versus its primary counterparts the USD index shot up by up to 0.09% ending up with a result of 95.507.
As some financial analysts pointed out, shock events, including government shutdowns are prone to having steep, although temporary, impacts on consumer confidence. It feels like January’s dive is more the outcome of a temporary shock rather than a precursor to a considerable deceleration in the nearer months.
Market participants are looking ahead to the approaching Fed policy verdict on Wednesday, exactly where the US key financial institution is anticipated to adopt a more cautious stance on monetary policy in the face of worries of economic deceleration in America and abroad.
Meanwhile, the UK pound headed south due to the fact that the British Parliament is anticipated to have a series of votes on Brexit amendments.
The United Kingdom is braced for departing from the European bloc on March 29. However, the members of the country’s legislative body are still far from agreeing a divorce pact, after the recent rejection of Prime Minister Teresa’s May’s Brexit plan this month.
The currency pair GBP/USD headed south by 0.08% ending up with 1.3149.
In addition to this, the common currency slumped. The currency pair EUR/USD went down by 0.11% being worth 1.1419.
As for the risk sensitive Australian as well as New Zealand dollars, they generally dived. The currency pair AUD/USD slumped by 0.22% hitting 0.7148, while NZD/USD stood still sticking with 0.6831.
During today's press conference, the ECB president said that the data was "somewhat" better than the expectations in the first quarter. T
Australia will release the level of employment change and unemployment rate on June 13, at 4:30 MT time.
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