Dollar devastated

Currency recap

The dollar suffered a sharp sell-off yesterday on a re-emergence of the “sell America” trade after Trump attacked Fed Chair Powell over the weekend, stating he needs to cut interest rates to avoid slowing down the economy. Markets went into risk-off mode, seeing equities drop and markets seeking out the safety of the Swiss franc, Japanese yen and gold.

Today's GBP rates

Today's speeches

• EUR: ECB Lagarde, Guindos
• USD: Fed Kashkari, Barkin

What we think

Some of yesterday’s dollar and equity sell-off has eased a tad this morning. Nonetheless, we remain way of further weakness on the greenback and markets depending on further comments from the Trump administration that could take out further appetite for US assets.

For the rest of today, we have EU consumer confidence numbers as well as several speakers from the Fed.

For the rest of the week, we have PMI numbers from the EU, UK and US to look forward to. In light of recent concerns over the US economy, US PMIs are expected to have a particularly significant influence on market sentiment.

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.