Thursday ended with the EUR/USD being high above of local resistance of 1.10. What's the target now?
Sterling pares revenues on revised UK GDP
On Thursday, the British pound pared back revenues versus the evergreen buck after data disclosing that the UK’s economic surge during the first quarter turned to be weaker than previously estimated.
The currency pair GBP/USD hit 1.2986, soaring 0.12%.
The Office for National Statistics posted that GDP was revised down to 0.2% for the three months from the first evaluation of 0.3%. It turned to be the weakest surge since the first quarter of the previous year.
The dominant British service sector ascended by nearly 0.2%, slumping from the initial forecast of 0.3% because consumer spending was affected by soaring inflation because of the weaker pound.
Versus the common currency, the British pound was nearly intact, with EUR/GBP hitting 0.8657,from approximately 0.8651 earlier.
Meanwhile, the greenback remained on the defensive, reacting to the minutes from the Fed’s latest gathering, which tempered some hawkish rate lift expectations.
The Reserve Bank of Australia will publish its statement and announce the interest rate on July 7, at 7:30 MT time.
The overall market sentiment was mixed after the USA recorded the largest increase in virus cases since May 9. The data even offset the better-than-expected NFP.
The risk-on tone is back on the market again. Let’s look at main trading opportunities.