Currency news

Dollar driven by Donald

Head of FX Analysis at Equals Money
-
3
min read
Publish date
02/07/24
    • USD gains on immunity rule
    • EUR inflation and US Jobs due today


    Yesterday's currency recap

    The EUR took the headlines yesterday morning, starting the day stronger after France’s first round of elections showed that Marine Le Pen’s National Rally party failed get as much of a majority as initially expected. But by the afternoon, it was another politician who took the headlines, after the US Supreme Court ruled that Donald Trump has some immunity from trying to reverse the 2020 election result. USD gained across the board as a result, erasing the morning's losses. The weaker-than-expected manufacturing PMI numbers were ignored by markets.

    Today's GBP rates

    Currency pair Daily move* Indicative rate**
    GBPAUD 0.25% 1.9009
    GBPCAD 0.55% 1.7384
    GBPCHF 0.62% 1.1435
    GBPDKK -0.09% 8.7950
    GBPEUR -0.09% 1.1792
    GBPJPY 0.47% 204.3570
    GBPNOK -0.17% 13.4900
    GBPNZD 0.36% 2.0834
    GBPSEK 0.30% 13.4415
    GBPUSD -0.09% 1.2655


    *Daily move - against
    G10 rates at 7:30am, 02.07.24

    ** Indicative rates - interbank rates at 7:30am, 02.07.24

    Key data points

    Currency Event Period Consensus Previous
    EUR CPI MoM Jun 0.20% 0.20%
    EUR CPI YoY Jun 2.50% 2.60%
    EUR Core CPI YoY Jun 2.80% 2.90%
    EUR Unemployment Rate May 6.40% 6.40%
    USD JOLTS Job Openings May 7,950,000 8,059,000

    Upcoming speeches

    • EUR: ECB Guindos, Elderson, Schnabel, Lagarde
    • USD: Fed Powell

    What we think

    Inflation numbers from the Eurozone in focus, where markets are expecting CPI to drop in the month of May. Markets are currently pricing in the possibility of two further rate cuts this year, barring any major surprises on inflation. For the EUR, the uncertainty surrounding the second round election on Sunday could bar any further gains for the currency. USD focus fall on the JOLTS job openings numbers at 3pm, as well as Fed Chair Powell participating in a panel in Sintra, Portugal. For now, USD gains seem to be linked with the heightened possibility of Donald trumping Biden as the next President.

    We specialise in currency guidance

    Our team of currency experts are here to help you get more from your money when making international payments. We will work with you to understand your payment needs and offer specialised guidance on the best options available to you. Over the last 19 years we’ve helped over a million customers and last year alone processed over £12bn. We’re tried and trusted, and we’re ready to help you.

    Have a great day.

    International payments made simple
    Find out more
    About the author
    Thanim Islam
    Profile
    Head of FX Analysis at Equals Money

    Still have questions?

    This is some text inside of a div block.

    Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.

    This is some text inside of a div block.

    Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.

    This is some text inside of a div block.

    Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.