Focus turns to the UK

May 6, 2021

A busy day coming up for markets with a stack of information scheduled for release.

The EURUSD opened at $1.20127 and lifted to an early high of $1.20262. It fell from those highs, hitting a low of $1.19854 mid-session. It spent the rest of the session trying to regain those losses, closing at $1.20026. It is currently trading at $1.20006. The GBPUSD began trading at $1.38827 and climbed slowly, before falling away to lows of $1.38754 mid-session. That was met with a swift rebound, with the pound peaking at $1.39253 an hour later. It gave up some of those gains late in the day and is now trading at $1.38995.

The Dow made modest gains overnight after starting the day at 34,142.90. It remained steady for most of the session, falling to lows of 34,045.42 late. Bouncing off those lows, the Dow climbed to a high of 34,336.80 shortly before the close. It is now trading at 34,267.65. The Dax regained most of the losses it sustained in the previous session when it opened at a low of 14,921.17. It was basically all one-way from there as the German index marched its way to a late high of 15,195.32, where it is currently trading.

Attention turns to the UK as the BoE holds its latest interest rate meeting. Rates are tipped to remain on hold, but commentary that supplements the rate decision has the potential to cause some market volatility.

Data published today includes:

Australia – RBA Deputy Governor Guy Debelle speaks

Europe – German Factory Orders, ECB Economic Bulletin, European Retail Sales, ECB President Christine Legarde speaks

UK – Final Services PMI, Asset Purchase Facility, Monetary Policy Summary, BoE Monetary Policy Report

US – Unemployment Claims, Challenger Job Cuts, Prelim Non-Farm Productivity, Natural Gas Storage, FOMC Members John Williams and Raphael Bostic speak


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