USD’s rally takes a pause, while riskier assets are modestly rising.
Important updates for the GBP
Great Britain will publish its trade balance on June 12, at 09:00 MT time.
Instruments to trade: GBP/USD, GBP/JPY, GBP/CHF
The balance of trade is the difference between imported and exported during the previous month. When the number is positive, that means that more goods were exported than imported. As a result, a higher indicator is better for domestic currency.
The last release showed a bigger level of imports than in April. The balance of trade reached -6.7 billion pounds. One of the reasons behind this fact is the lockdown in the UK.
- If the actual figures of trade balance are greater than the forecasts, the British pound will go up.
- If the actual figures of trade balance are lower than the forecasts, the British pound will go down.
Poor US data, slow vaccine distribution, rising virus cases worsened the market sentiment and underpinned safe-haven currencies like the USD, and JPY.
Joe Biden is going to unveil a Covid-19 relief package of about $2 trillion. After this announcement, the 10-year Treasury yield rose, adding support for the USD.
PMI reports from the EU, the UK, and the USA will be released during the day!